Court Services Victoria Annual Report 2019-20

Annual Report2019-20

Delivering Excellencein Court and TribunalAdministration

C ON T EN T SREPORT OF OPERATIONS

2 MessagefromtheChair

4 MessagefromtheChiefExecutiveOfficer

6 Section1:GovernanceandOrganisationalStructure

16 Section2:YearinReview

38 Section3:WorkforceData

46 Section4:OtherDisclosures

FINANCIAL STATEMENTS

57 FinancialStatements

68 NotestoFinancialStatements

140 Glossary

CourtServicesVictoriaacknowledgesAboriginalandTorresStraitIslanderpeoplesastheFirstPeoplesandTraditionalOwnersandCustodiansofthelandandwaterwaysuponwhichourlivesdepend.CourtServicesVictoriaacknowledgesandpaysrespecttoancestorsofthiscountry,Elders,knowledgeholdersandleaders–pastandpresent.CourtServicesVictoriaextendsthatrespecttoallAboriginalandTorresStraitIslanderpeoples.

©CourtServicesVictoria

Thisreportisprotectedbycopyright.ApartfromanyusepermittedundertheCopyrightAct1968(Cth),allrightsarereserved.

CourtServicesVictoriaISSN2205-1090(Print)PublishedbyCourtServicesVictoria

PublishedbyCourtServicesVictoriaDesign:CelsiusDesignPhotography:WilliamHungandBonnieSavage

December2020

ENQUIRIES

CourtServicesVictoria223WilliamStreetMelbourneVic3000www.courts.vic.gov.auEmail:[email protected]

Children’s Court of Victoria

Victorian Civil and Administrative Tribunal (VCAT)

County Court of Victoria

RESP ONSIBL E B ODY ’S DECL A R AT IONInaccordancewiththeFinancial Management Act 1994andtheCourt Services Victoria Act 2014,IampleasedtopresenttheCourtServicesVictoriaAnnualReportfortheyearending30June2020.

The Honourable Chief Justice Mary Anne Ferguson Chair of the Courts Council

Coroners Court

of Victoria

Magistrates’ Court of Victoria

Supreme Court of Victoria

Court Services Victoria Annual Report 2019-202

MES S AGE FROM T HE CH A IRItiswithpleasurethatIpresentthesixthannualreportofCourtServicesVictoria(CSV).

TheAnnualReportisbeingfinalisedandpublishedlaterthanusualasaresultofthecoronavirus(COVID-19)pandemic.Whilethepandemic’seffectswereonlyfeltinthelastfourmonthsofthereportingperiod,thisreportreflectstheongoingimplicationsofthepandemicandCSV’sresponsetoit.

Coronavirus(COVID-19)profoundlyimpactedtheoperationsoftheVictoriancourtsandtheVictorianCivilandAdministrativeTribunal(VCAT).Thespeedwithwhichwewereabletomeetthischallengewasinpartmadepossiblebytheimprovedgovernanceandcapabilitywehadbeendevelopingbeforeitsonset.

Throughout2019-20,CSVinitiatedmanyoftherecommendationsfromCourtsCouncil’sGovernanceandStrategicDirectionsReviewtostrengthengovernanceandcapability.CSVpursuedopportunitiestostreamlineservicedelivery,reduceduplicationandimplementserviceimprovementstobecomemoreeffective,efficientandimprovefinancialsustainability.AkeyfocusareainimplementingserviceimprovementshasbeeninsupportingthecourtsandVCATwiththerapiduptakeoftechnology.

Duringthepandemic,measurestoprotectthehealthandwellbeingofstaffandcourtandVCATusers,andtoplayourpartinavoidingthespreadofthevirusinthecommunity,wereimplementedasourhighestpriorityandadaptedwiththedevelopingpublichealthadvice.Inaddition,thecourtsandVCATdramaticallychangedthewaytheyoperatedduringthistimebymovingfromin-persontoaudioandvideohearings,anddigitaldocumentmanagement.Thisenabledalljurisdictionstoremainoperationalandcontinue

todeliverjustice.Ouruseoftechnologywasnotnew,butthepandemicrequiredarapidandeffectivetransitiontoonlinedigitalhearingsonanunprecedentedscale.Thiswasachievedatpace.Itsdeliverywasremarkable,demonstratingthepoweroftechnologyandhowcriticalitistoenableinnovationandtoimproveservicedelivery.

CSVcurrentlysupportsseventy-fiveseparatebuildingsinsixty-sixlocationsacrossVictoria.Forty-onepercentofthebuildingsareoverfiftyyearsoldandfiftypercentaresinglecourtrooms.Againstthatbackground,innovationandimprovedservicedeliveryconceptshavebeenusedtoframethedevelopmentofCSV’ssecondStrategicAssetPlan(SAP2).SAP2begandevelopmentin2018andwillbefinalisedinlate2021.ItisasignificantbodyofworkprovidingaframeworkthatwillaidCourtsCouncilandCSVinourendeavourstooptimiseourbuildingsfortheuseoftechnology,tosimplifyaccesstojusticethroughintegrated,user-centricsolutionsandtoprovidesafer,suitable,people-centredvenues.Notably,SAP2willleveragelessonslearnedfromhowwesupportedthedeliveryofjusticeduringcoronavirus(COVID-19).

ThecourtsandVCAT,whetherthephysicalcourtorhearingroomorthedigitalspace,areimportantpublicvenues.Theyarewherejusticeisdelivered;workplacesforjudicialofficers,staff,lawyersandothers;andtheyembodycommunityvaluesaboutjusticeandaccesstoit.

CSVhasputthisphilosophyintopracticeinthenewcourtcomplexbeingbuiltinBendigo.Buildingdesignshavebeenfinalisedandoperationalplanninghasbegun.ThefutureBendigoLawCourtwillbeadistinctivecivicpresence,withadesignthatisstronglyinformedbytheculturalimageryandknowledgeoftheDjaDjaWurrung,theTraditionalOwnersofthelandonwhichBendigoisbuilt.Thecourtalsotakesdesigninspirationfrom

Report of Operations 3

thestrikingspiresandtowersofBendigo’sskyline,reflectiveofBendigo’sgoldrushheritage.

TheBendigoLawCourtsdevelopmentisembeddingtechnologyinitsdesigntosimplifyaccesstojusticethroughintegrated,user-centricsolutions.TheCaseManagementSystemProjectisalsoontracktodeliveramodernintegratedsystemfortheMagistrates’andChildren’sCourts,anditembracesasimilardesignintent.Botharefocussedondeliveringabetterexperienceforthosewhouseourservices,andusingtechnologytoworkbetterandsmarter.CSVisbuildingamodernsystemforadministeringjustice.

SubstantialworkwasalsoundertakenduringtheyeartodevelopanewStrategicPlanforCSV.Whilenotcompletedduringthereportingperiod,theStrategicPlanwasapprovedbyCourtsCouncilinSeptember2020.ItsetsoutourcommitmentthatthecourtsandVCAT,supportedbyCSV,willcontinuetodeliverjusticeeffectivelyandefficiently,andpursueinnovativeapproachestojusticeintothefuture,supportedbycollaborativeleadershipandexcellenceincourtadministration.

Theplanconnectsthecourts,VCATandCSVthoughaCourtsGroupframework,whilerecognisingandcontinuingtomaintaintheindependenceofeach.ItisinmanywaysanintegratedstrategicplanforVictoria’scourts,tribunalsandCSV.Inthemain,itwasdevelopedduringthepeakofthepandemic.ItisinformedbytheeffectivecollaborationoftheCourts’Groupandunityofpurposethatwasevenmoreimportantduringthattime.

I’mpleasedthatthisAnnualReportisbeingpublishedalongsidetheCSVStrategicPlan2020–2025,asbothsetoutaclearpathwayforCSVoverthecomingmonthsandyears.

ACKNOWLEDGEMENTS

OurChiefExecutiveOfficer,LouiseAnderson,hasprovidedoutstandingsupporttoCourtsCouncilduringthepastyear.ShehasdemonstratedexcellentleadershipinherroleasCEO.

Inthismostchallengingofyears,theCSVexecutivegroupandstaffhavedemonstratedcontinuedcommitmentandsupporttoVictoria’scourts,VCAT,theJudicialCollegeandtheJudicialCommission.Ithankthemfortheirextraordinaryeffortsanddedicationinthepastyear.

IalsoextendmythankstoallPortfolioCommitteemembers.CourtsCouncilisextremelygratefulforyourcontributiontothedeliveryofqualityandaccessiblejusticeacrossourcommunity.

IwouldalsoliketowelcometoCourtsCouncil,JudgeLisaHannanandJudgeJohnCain,andthankoutgoingmembersJudgePeterLauritsenandActingStateCoronerCaitlinEnglishfortheircommitmenttoourwork.MythanksgotoallCouncilmembersfortheirdiligence,enthusiasmandforesight.Itismygreatpleasuretoworkwiththem.

The Honourable Anne Ferguson Chief Justice of the Supreme Court of Victoria Chair of the Courts Council


MES S AGE FROM T HE CHIEF E X ECU T I V E OFFICERCourtsServicesVictoria’sAnnualReportfor2019-20isanintegralpartofouraccountabilitytogovernment,theVictorianCourtsGroupandtheVictoriancommunity.Itsetsoutourachievements,performanceinformation,strategicoutlook,financialposition,andprovidesinformationonourworkforceandresponsibilitiesasanemployer.

CSVcomprisesmorethan2,200peoplewithintheCourtsGroupandtheadministrativeandcorporatecentre,whotogethersupporttheVictoriancourtsandVCATtodeliverjusticetotheVictoriancommunity.ItsabilitytodothiswastestedsignificantlyduringthelatterpartofthereportingperiodwiththedeclarationofaglobalpandemicinMarch2020.Therewerechallenges,manyunprecedented,andimportantlessonslearnt,butthestrategicinvestments,strengthenedgovernanceandcapabilityandconfidencetobeanagileserviceprovider,positionedCSVwell.

ThisAnnualReportsetsouthowCSVisadvancingtoimplementsmarter,moreefficientwaysofworkingtoimprovethedeliveryofsharedservices.ItemphasisesourclearandoverridingobjectivetosupporttheindependenceofthecourtsandVCAT,througheffectivefinancialmanagement,innovativeuseoftechnology,andforward-lookingstrategicleadershipatalllevels.

Thefinancialyearthathaspassedhasconfirmedtheimportanceofleadership,ofvaluesandofculture.TheCourtsExecutivewasestablishedduringthereportingperiodanddeliveredeffectiveandagilegovernance,comingtotheforeduringcoronavirus(COVID-19).Withmyexecutivecolleagues,werapidlyimplementedtechnologyacrosstheCourtsGrouptosupportremotedeliveryofjustice,andputinplacewellbeinginitiativestosupportthehealthandproductivityofanalmost100percentremoteworkforce.Weswiftlytransitionedtooperateeffectivelyinthepandemic.

Itwasalsoayearthatputintosharpfocustheneedtodeveloptruepartnerships–whetherworkingwithgovernmentonhowbesttosupporttheadministrationofjusticeinVictoria,orCSVandthejurisdictionscomingtogetherastheCourtsExecutivetodemonstratecollectiveleadershipinrespectofstrategicplanning,reviewingservicedelivery,exchangingknowledge,andpromotingsustainabilityofoperations.


OverthereportingperiodIwelcomednewmembersoftheexecutiveandfarewelledothers,andIthankallwhosupportedtheworkofCSVthroughoutthistime.Theprofessionalismand‘cando’attitudeofallexecutives,alongwiththeircapableanddedicatedstaff,placesCSVinastrongpositiontocontinuetodelivervaluetotheCourtsGroupovercomingyears.

ThisisonlymadestrongerbyconsideredandstrategicstewardshipoftheChiefJustice,theHonourableAnneFerguson,andCourtsCouncil.IlookforwardtosupportingCourtsCouncilandleadingCSVin2021toembedwhatwehavelearnt,andcontinuetobuildasafe,respectfulandhighlyeffectiveculture.

Louise Anderson Chief Executive Officer

“ THIS ANNUAL REPORT SETS OUT HOW CSV IS ADVANCING TO IMPLEMENT SMARTER, MORE EFFICIENT WAYS OF WORKING TO IMPROVE THE DELIVERY OF SHARED SERVICES. IT EMPHASISES OUR CLEAR AND OVERRIDING OBJECTIVE TO SUPPORT THE INDEPENDENCE OF THE COURTS AND VCAT, THROUGH EFFECTIVE FINANCIAL MANAGEMENT, INNOVATIVE USE OF TECHNOLOGY, AND FORWARD-LOOKING STRATEGIC LEADERSHIP AT ALL LEVELS.”


SEC T ION 1

GOV ERN A NCE A ND ORGA NIS ATION A L S TRUC T URE


A B OU T C OUR T SERV ICES V IC TORI ACourtServicesVictoria(CSV)wasestablishedundertheCourt Services Victoria Act (2014)on1July2014.TheobjectoftheCSVActisto‘supportjudicialindependenceintheadministrationofjusticeinVictoria’.ThefunctionofCSVistoprovidetheadministrativeservicesandfacilitiesnecessaryordesirabletosupportthejurisdictions.

Victoria’sSupreme,County,Magistrates’,Children’sandCoronerscourts,theVictorianCivilandAdministrativeTribunal(VCAT),theJudicialCollegeofVictoria(College)andtheJudicialCommissionofVictoria(Commission),andCSVarereferredtointhisAnnualReportasthe‘CourtsGroup’.

TheCourtsGroupessentiallyconstitutesthejudicialbranchofVictoria’ssystemofdemocraticgovernment.CourtsCouncilisthegoverningbodyofCSV–itdirectsstrategy,governanceandriskmanagement–anditistheforemostdecision-makingbodyoftheCourtsGroup.Withthesearrangementsinplace,Victoriahasaself-administeredcourtssystem.

Inperformingitsfunctions,CSVservestheVictoriancommunitythroughtheefficientandeffectivedeliveryofcourtandtribunalservices,therebysupportingVictoria’ssystemofresponsiblegovernmentandtheruleoflaw.

Thesubstantiveworkofthecourts,VCAT,College,andCommissionisavailableintheseparateAnnualReportofeachentity.


ESTABLISHMENT AND MINISTERIAL POWERS

TheCourtsCouncilappointstheChiefExecutiveOfficerCSVtoleadthefunctionsofCSVconsistentwiththegovernance,strategy,plans,proceduresandpoliciesoftheCourtsCouncil.TheChiefExecutiveOfficerCSVistheaccountableofficerunderSection42oftheFinancial Management Act 1994responsibleforfinancialmanagementcompliance,planningandreportingofCSV.TheChiefExecutiveOfficerCSValsohastherights,powersandauthoritiesofapublicservicebodyhead,onbehalfoftheCrown,foremployeesofCSV.TheChiefExecutiveOfficerCSVistheemployerofallstaffmemberswithintheCourtsGroup.

TheCourtsCouncilonthenominationoftherelevantheadofjurisdictionappointsChiefExecutiveOfficersforeachcourtandVCAT.ChiefExecutiveOfficersensurethatappropriatesupportsareprovidedtotheirjurisdictionsandareresponsibledirectlytotheirHeadofJurisdictioninrelationtothoseoperations.

ThejurisdictionChiefExecutiveOfficersexercisedelegatedauthoritynecessarytoassisttheHeadofJurisdictionintheadministrationofthejurisdiction,andtosupporttheeffectiveandefficientoperationsofCSV.

TheChiefExecutiveOfficeroftheJudicialCollegeandtheDirectoroftheJudicialCommissionareappointedbytheCSVChiefExecutiveOfficer,pursuanttonominationbytherespectiveBoardsoftheCollegeandtheCommission.

CSVreceivesadirectappropriationfromtheparliamenttoenableittocarryoutitsfunctionsandmanageitsownbudget.TheCSVChiefExecutiveOfficeristheAccountableOfficerfortheCourts’appropriation,andtheCourtsCouncilistheResponsibleBody.

CSVhasaccountabilitiestoboththeparliamentandtheexecutiveforthewayinwhichitcarriesoutitsoperationswithinitsallocatedbudget.

TheAttorney-GeneralistherelevantVictorianMinisterwithportfolioresponsibilityforCSV.TheAttorney-General’sstatutorypowerswithrespecttoCSVarebudgetapproval,agreementtoallocationstatements,andrecommendingthevestingofCrownLandtoCSV.


GOVERNANCE STRUCTURE

Board of the Judicial College of

Victoria

Board of the Judicial

Commission of Victoria

Heads of Jurisdictions

Information Technology

Portfolio Committee

Finance Portfolio

Committee

Human Resources Portfolio

Committee

Executive Remuneration

Committee

Courts Koori Portfolio

Committee

CSV Chief Executive

Officer

C OUR T S C OUNCIL

Audit and Risk Portfolio

Committee

Strategic Planning,

Infrastructure and Services

Portfolio Committee

Assets Planning and Management

Executive Director

Chief Operating Officer

Finance and Governance

Chief Corporate Officer

Information Technology

Services

Chief Information Officer

People and Culture

Executive Director

Performance and Planning

Director

Major Projects

Director

Court, VCAT and College CEOs, and

Commission Director


GOV ERNING B ODY

COURTS COUNCIL

TheCSVgoverningbodyistheCourtsCouncil.ItischairedbytheChiefJusticeoftheSupremeCourtofVictoriaandconsistsofthesixHeadsofJurisdictionanduptotwonon-judicialmembersappointedbytheHeadsofJurisdiction.Asat30June2020,theCourtsCouncilhadonenon-judicialappointedmember.

TheCourtsCouncilisresponsibleforthegeneraldirectionandsuperintendenceofCSVand,subjecttotheCSVAct,mayperformthefunctionsandexercisethepowersofCSV.Inaddition,theCourtsCouncilhasthefollowingfunctionsandpowers.

Todirectthestrategy,governanceandriskmanagementofCSV.

ToappointtheCSVChiefExecutiveOfficer.

ToappointtheChiefExecutiveOfficerforeachjurisdictionontherecommendationoftherelevantHeadofJurisdiction.

AnyotherfunctionsthatareconferredontheCourtsCouncilbytheCSVAct,oranyotherAct.

COURTS COUNCIL MEMBERS

Chief Justice of the Supreme Court of Victoria

TheHonourableChiefJusticeAnneFergusonwasfirstappointedasajudgeoftheSupremeCourtofVictoriain2010,andsubsequentlyappointedChiefJusticeon2October2017.

Chief Magistrate of the Magistrates’ Court of Victoria

HerHonourJudgeLisaHannancommencedintheroleofChiefMagistrateon17November2019,havingservedforeightyearsasaMagistrateandCoroner,and13yearsasaCountyCourtJudge.HisHonourJudgePeterLauritsenwasChiefMagistrateuntil17November2019.

President of the Children’s Court of Victoria

HerHonourJudgeAmandaChamberswasappointedasajudgeoftheCountyCourtofVictoriaandPresidentoftheChildren’sCourtofVictoriaon9June2015.

President, Victorian Civil and Administrative Tribunal

TheHonourableJusticeMichelleQuigleywasappointedasaJudgeoftheSupremeCourtofVictoriainDecember2017,andappointedasPresidentoftheVictorianCivilandAdministrativeTribunalon1June2018.

Independent Member

DrPhilipWilliamsAMheadsthelegalandcompetitionteamofFrontierEconomics(Australia).DrWilliams’areaofexpertiseistherelationshipbetweeneconomicsandthelaw,andheisaco-authorofTheAustralasianInstituteofJudicialAdministration’sReportonCourtGovernance.

Chief Judge of the County Court of Victoria

TheHonourableJusticePeterKiddwasappointedChiefJudgeoftheCountyCourtofVictoriainSeptember2015.

State Coroner, Coroners Court of Victoria

HisHonourJudgeJohnCainwasappointedasaJudgeoftheCountyCourtofVictoriaandStateCoroneron2December2019.HerHonourCoronerCaitlinEnglishwasActingStateCoronerfrom16April2019to1December2019.



C OMMI T T EESTheCourtsCouncilissupportedbysevenstandingcommittees.Thesecommitteesarejudiciallyled,animportantfeatureofCSV’sgovernanceandoperatingstructure.

EachcommitteeconsidersarangeofissuespivotaltoCSV’soperationsandmeetregularly,exceptfortheExecutiveRemunerationCommitteethatmeetsasandwhenrequired.

AUDIT AND RISK PORTFOLIO COMMIT TEE

TheAuditandRiskPortfolioCommitteeassiststheCounciltofulfilitsgovernanceresponsibilitiesandobligationsinrelationtofinancialreportingandaccuracyoftheCSVFinancialStatements.TheCommitteealsoadvisesonriskmanagement;thedevelopmentoftheinternalauditannualprogram;internalcontrolfunctions;externalaudit;andensuresthefinancialsystemsandprocessesofCSVareconsistentwiththerequirementsoftheFinancial Management Act 1994,theAudit Act 1994,andotherlegislationandprescribedrequirements.

InaccordancewiththeFinancialReportingDirectionsundertheFinancial Management Act,themembersofthecommitteeduringthe2019-20financialyearwere:

` StewartLeslieChair,IndependentMember

` DrPhilipWilliamsIndependentMember,CourtsCouncil

` JusticeMichaelMcDonaldSupremeCourtofVictoria

` JudgePhilipGinnaneCountyCourtofVictoria

` MagistratePhillipGoldbergMagistrates’CourtofVictoria

` ElizabethCamilleriIndependentMember

` SusanFriendIndependentMember(AppointedAugust2019)


COURTS KOORI PORTFOLIO COMMIT TEE

TheCourtsKooriPortfolioCommitteeadvisestheCourtsCouncilonIndigenousissues,assistsjurisdictionswithissuesrelatingtoIndigenousjustice,andrecognisestheimportancethatIndigenouscommunitiesandstakeholdershaveinthedeliveryofIndigenousjustice.

E XECUTIVE REMUNER ATION COMMIT TEE

TheExecutiveRemunerationCommitteemeetsasrequiredtoconsidermattersrelatingtoexecutiveremuneration,performanceandgovernancefortheassessmentandapprovalofexecutivesalaries,termsandconditions.

FINANCE PORTFOLIO COMMIT TEE

TheFinancePortfolioCommitteesupportsandadvisestheCourtsCouncilonissuesaffectingfinancialsustainability,strategyandperformance,andtoassistitinfulfillingitsfiduciaryresponsibilitiesandobligations.ItalsoadvisesCouncilonmattersrelatingtotheCSVbudgetandfinancialriskmanagement,reviewingoperatingandcapitalbudgetsandmonitoringperformanceagainstbudget.

HUMAN RESOURCES PORTFOLIO COMMIT TEE

TheHumanResourcesPortfolioCommitteeassiststheCourtsCouncilbyoverseeingthedevelopmentofhumanresourcespoliciesandstrategiesthatsupportbestpracticehumanresourceplanningandmanagementinCSV.

INFORMATION TECHNOLOGY PORTFOLIO COMMIT TEE

TheInformationTechnologyPortfolioCommitteeoverseesthedevelopmentofinformationtechnologystrategiesandinitiativestosupporttheindependentoperationofVictoria’scourtsandtribunals,andfocusesontheidentificationanddevelopmentofmultijurisdictionalpolicies,strategicinitiatives,solutions,andservicestobenefitalljurisdictions.

STR ATEGIC PL ANNING, INFR A STRUCTURE AND SERVICES PORTFOLIO COMMIT TEE

TheStrategicPlanning,InfrastructureandServicesPortfolioCommitteeassiststheCourtsCouncilinthestrategicplanning,developmentandoversightofcourtsandtribunalsinfrastructureandservicesforVictoria.

SENIOR E X ECU T I V E

COURT SERVICES VICTORIA CHIEF E XECUTIVE OFFICER

LouiseAndersonistheCSVChiefExecutiveOfficer,appointedbytheCourtsCouncilundersection22oftheCourt Services Victoria Act.

HerfunctionsandpowersincludethemanagementofthesupportservicesandfunctionsofCSVinaccordancewiththestrategy,plan,proceduresandfunctionsoftheCourtsCouncil.TheCSVChiefExecutiveOfficerisalsoresponsiblefortheappointmentandmanagementofCSVstaff(otherthantheappointmentofthejurisdictionChiefExecutiveOfficers).

OPER ATIONAL DIVISIONS

CSVsupportstheoperationsofthecourts,VCAT,theCollegeandtheCommissionthrough:

` FacilitatingtheplanningandprovisionoffacilitiesandinfrastructurethroughAssetPlanningandManagement

` ComplianceandbestpracticeinFinanceandGovernance

` InnovativeandeffectivetechnologythroughInformationTechnologyServices

` DeliveryofMajorProjects

` WorkforceengagementandsupportthroughPeopleandCulture

` StrategicplanningandintegrationthroughPerformanceandPlanning


TheSeniorExecutives,asat30June2020,whohavealeadershiproleinrespectofthedeliveryoftheseservicesare:

Justin Bree ChiefInformationOfficer

Michael CarrollDirectorMajorProjects

Fiona ChamberlainChiefOperatingOfficer(seenote1)

Salvatore CostanzoChiefFinanceOfficer

Marion van RoodenChiefCorporateOfficer

Voula HaigActingExecutiveDirectorPeopleandCulture(seenote2)

Bill O’ConnorDirectorPerformanceandPlanning(seenote3)

Notes:

1. Fiona Chamberlain commenced as Chief Operating Officer on 2 December 2019. Marlene Morison was the Executive Director Asset Planning and Management to 27 September 2019.

2. Alicia Goddard was the Executive Director of People and Culture to 31 January 2020.

3. Bill O’Connor commenced as Director Performance and Planning on 27 September 2019.


JURISDICTION CHIEF E XECUTIVE OFFICERS

EachoftheCEOsoverseestheadministrationoftheirjurisdictionandprovidessupporttotheirHeadofJurisdiction.

TheycometogetherwiththeCSVCEOandseniorexecutivesastheCourtsExecutive,tofocuscollaborativelyonthedeliveryofstrategy,qualityadministration,andcontinuousimprovement.

TheChiefExecutiveOfficers,asat30June2020,arelistedbelow.

Matt Hall SupremeCourtofVictoria

Daniel CaporaleCountyCourtofVictoria(seenote1)

Elissa Scott ActingChiefExecutiveOfficerMagistrates’CourtofVictoria(seenote2)

Simon McDonald Children’sCourtofVictoria

Carolyn GaleCoronersCourtofVictoria

Mary AmiridisVictorianCivilandAdministrativeTribunal

Samantha BurchellJudicialCollegeofVictoria

Alexis EddyDirectorJudicialCommissionofVictoria(seenote3)

Notes:

1. Fiona Chamberlain was Chief Executive Officer County Court of Victoria, until 29 November 2019. Bradley Medcroft was Acting Chief Executive Officer County Court of Victoria from 2 December 2019 to 28 February 2020.

2. Andrew Tenni was Chief Executive Officer, Magistrates’ Court of Victoria, until 21 February 2020.

3. Jacqueline Harrop was the Acting Director of the Judicial Commission of Victoria until 16 October 2019.


SEC T ION 2

Y E A R IN RE V IE WCSVischargedwiththedeliveryofefficientandeffectivecorporateservicestotheCourtsGroup.Itdischargesthisaccountabilitythrough:

` Anengagedandproductiveworkforce

` Anethical,healthyandsafeworkplace

` GoodgovernancefollowingtherequirementsoftheVictorianPublicSector

` Soundfinancialmanagementandfuturesustainability

` Userfocussedandinnovativeinformationtechnologysystems

` Provisionofkeyinfrastructureforthedeliveryofjustice


During2019-20,CSVcontinuedtooperateconsistentlywiththeCSVCorporatePlan2018-2022.This‘Yearinreview’sectiondetailsperformancehighlightsofeachoperationalareawithinCSV’scorporatecentreagainstthefourstrategicprioritiesoftheCSVCorporatePlan.AchievementsagainstperformancemeasuresarereportedunderOutputPerformance.

Thestrategicprioritiesare:

` Judicialindependence

` Supporttheadministrationofjustice

` Responsiblemanagementandaccountability

` Excellenceincourt,tribunalandjudicialsupport

RESP ONSE TO C ORON AV IRUS (C OV ID -19)On11March2020,theWorldHealthOrganisationdeclaredtheSARS-CoV2Virus(COVID-19)aglobalpandemic,withcountriesaroundtheworlddeclaringarangeoflockdownsandpublichealthmeasurestoprotectpopulations.Aspartofthesemeasures,theVictorianGovernmentdeclaredaStateofEmergencyandannouncedrestrictionsthatincludedclosureofnon-essentialbusinessesandtheadviceforemployeestoworkfromhomefrom25March2020.

TheCourtsGrouphaveaclearandimportantresponsibilitytoadministerjusticefairly,transparently,impartiallyandwithintegrity.IndoingsotheyplayakeyroleinpromotingthesafetyandsecurityofVictoriancommunitiesandcontributetooursocialcohesivenessandeconomicprosperity.Sinceearly2020,Australiahasbeenaffectedbyoneofthegreatestsocialandeconomicdisruptionsinmodernhistory.Coronavirus(COVID-19)hasrapidlysweptacrosstheglobe,placingpressureongovernmentservices,constrainingthemovementofpeopleandgoods,andhavingamajoreconomicimpact.

Thecoronavirus(COVID-19)crisishassignificantlyimpactedontheoperationsandthroughputofthecourts.TheCourtsGroupmovedquicklytoleverageinvestmentspreviouslymadeinourmodernisation,andrapidlytransitionedtoremoteoperationsfacilitatedthroughtechnology.CSVmadeswift,butwellconsidered,changestopractice,procedureandoperatingmodelstoensurethatjusticecontinuedtobedeliveredinthecoronavirus(COVID-19)environment.CSV’sresponseeffortsfocussedon:

` ensuringcourtuser,judicialofficerandstaffsafety

` continuingtohearprioritymatters

` usingtechnologytoenableremotehearings

` engagingwithcourtusersandthejusticesector.

AllcourtsandVCATremainedopen,andmeasureswereintroducedtoreducethemovementofpeopletoandfromcourtvenues,decreasingtheneedforphysicalattendancesandminimisingtransportationofprisoners.ThecourtsandVCATconductedhearingsremotelywhereverpossible,usingvideoand/ortelephoneconferencingtechnology.Onlymattersofurgencyorprioritywereconductedonsite,

andonlywheretherewasnoreasonablealternative.

AnextensiverangeofhygieneandphysicaldistancingmeasureswereputinplaceacrossCSVlocationstoprotectthehealthofcourtusers,judicialofficersandstaff,including:

` increasedgeneraland‘deep’cleaning

` installationofhandsanitisers

` physicaldistancingandhygienesignageanddecals

` provisionoffacemasks

` installationofhygienescreens

` implementationofaQRcodevisitorregistrationsystem.

CSValsoundertookdetailedspatialassessmentsacrossthecourtstoinformphysicaldistanceplanninginanticipationofareturntohigherlevelsofin-personappearances.

CSVworkedquicklytoensureallstaffandcontractorshadaccesstotherightinformationandsupportprograms.AdditionalIThardwareandsoftwarewasdeployedtoenablestafftoworkremotely,orifinperson,appropriatelydistanced.

TheCourtsGroupmaderapid,butwellconsidered,changestopractice,procedureandoperatingmodelstoensurethatjusticecontinuedtobedeliveredinthecoronavirus(COVID-19)environment.TechnologywasakeyenablerfortheCourtsGroupresponsetocoronavirus(COVID-19).Technologyenabledadaptionofcourtsandtribunalprocesses,andforjudicialofficersandstafftodotheirworkinchangingcircumstances.

Theresponsetocoronavirus(COVID-19)hasbeenledbyCourtsCouncil,withdaytodayoperationaldirectionbeingguidedbytheCSVEmergencyManagementTeam(EMT),comprisedofallCourtsGroupCEOs,andchairedbytheCSVCEO.

CSV’sEMTfirstmeton28February2020tocommenceconsiderationofnecessaryactions,andtoinitiatethedetailedplanningrequiredforawholeCourtsGroupresponsetothepandemic.TheEMTwillcontinuetoprovidethisleadershipthroughoutthedurationofthepandemic.


JUDICI A L INDEP ENDENCEFair,accessibleandefficientcourtsandtribunalscontributetopublictrustandconfidenceinthejusticesystem.CSV’sroleinenablingthisisthroughthedeliveryofefficientandeffectivecourtandtribunalservicesaswellassupportingCourtsCouncilinthegovernanceandstrategyofCSV.

CSV’spurposeisto‘supportjudicialindependenceintheadministrationofjusticeinVictoria’byprovidingexpertandadministrativesupporttotheCourtsGroup.Thissupportincludesfinancialandassetmanagement,humanresources,procurement,informationandcommunicationtechnology,andsomeprofessionalservices.

InlinewiththestrategicimperativesofCourtsCouncil,servicesareprovidedbyCSVinwaysthatenableanindependent,sustainable,joined-upCourtsGroupthatpromotesdeliveryintegrationaroundcourtusers,promotescollaborationtoimprovequalityandeconomy,andreducesduplication,fragmentationandwasteacrossCourtsGroup.

AdministrativeservicesprovisionislargelycentralisedintheCourtsGroupwithinCSV,toachieveanefficientandaccessiblearrayofadministrativeandprofessionalcapabilitiesinordertosatisfytheneedsofthejurisdictions.Theseservicesalsoexisttolesserextentswithineachjurisdiction,basedontheuniqueneedsofeachentity,andthereisworkabledistinctionbetweentheadministrativeactivitiesofjurisdictionsandCSV(soastoavoidduplication).Increasingly,inadditiontoengagingCSV’sadministrativeservices,jurisdictionsdrawonCSVforspecialistexpertiseandtoprovidesurgecapacity(i.e.additionaladministrativesupportduringthecoronavirus(COVID-19)pandemic).

GOVERNANCE AND STR ATEGIC DIRECTIONS RE VIE W

Inearly2019,CourtsCouncilconductedaGovernanceandStrategicDirectionsReviewwhichresultedinanumberofagreementsincludingto:

` developasuiteofstrategicdirectiontoreplacethecurrentstrategicplan

` drivecorporateservicedeliveryreform

` reviewthePortfolioCommitteestructure.

Tosupporttheachievementoftheseagreements,CSVSeniorExecutivesandjurisdictionCEOsestablishedtheCourtsExecutive–which,amongstotherthings,focussesoncorporateservicesreformstrategynecessarytoimprovethedeliveryofcorporateservicesandremoveduplicationforeachofthefourhighprioritycorporateservices–AssetPlanningandManagement,PeopleandCulture,Finance,andInformationTechnologyServices.

Significantstepshavebeentakentodeliveragainsttheseagreements,including:

` TheestablishmentofPracticeLeadershipGroups(PLG)forhumanresources,informationtechnology,andassetandfacilitiesmanagementtosolvecommonproblems,reduceduplicationofeffortacrosstheCourtsGroup,increaseprofessionalcapabilityandachieveintegrationofadministrativeservicesdelivery.ThePLGshavesofarproveneffectiveformanagingcorporatesupporttocourtsthroughthepandemic.Forexample,theHRPLGenabledtherapiddevelopmentandimplementationofmeasuresthroughthepandemictokeeppeoplesafeandwellintheirworkplaces–intheofficeandathome–andhelpthemadapttochangedlivingconditions.


` Supportingjurisdictionswiththerapiduptakeofdigitaltechnologyduringcoronavirus(COVID-19)including:

» Set-upMicrosoftTEAMSforallcourtsandVCAT.

» Deployedat-scaleteleconferencing,workingathome,andaudio/videoconferencingsolutions.

» Integratedaudio/videoconferencingsolution(WebEx)withCorrections.

` RestructuringtheFinanceTeam,whichinvolvedtheappointmentofaDirectorofFinanceandthecreationoffourfunctionseachledbyamanagerwithclearaccountabilitiestotheChiefFinanceOfficer.

` RestructureofAssetPlanningandManagementintotheBuiltEnvironmentDivisionincluding:

» EstablishmentoftheDesignandSustainablePlanningteamwhichprovidesjurisdictionswitharesourcetoassistinproblemdefinitionanddevelopmentofcapitalworkssolutionsandbusinesscases.

» ImplementationoftheCourtsAssetInformationManagementSystem(CAIMS)whichenhancestheabilitytotrackandmanageresponsestomaintenancerequests,andplanpreventativemaintenanceofcourtbuildings.

CSV STR ATEGIC PL AN 2020 – 2025

CourtsCouncilapprovedanewthree-yearStrategicPlanon24September2020whichprovidesanoverviewofCSV,identifiesitsoperatingenvironmentandestablishesprioritieswithactions.ThedraftplanwasdevelopedthroughaconsultativeprocessbytheCourtsExecutive.

Whilenotapproveduntiloutsidethecurrentreportingperiod,substantialworkwasundertakentoconsultwithkeystakeholdersonthedraftplanduring2019-20.

ThekeyprioritiesandactionincludedintheCSVStrategicPlan2020–2025willformthebasisofreportingintheCSVAnnualReport2020-2021.


SUP P OR T T HE A DMINIS T R AT ION OF JUS T ICECourtServicesVictoriacontributestotheeffectiveandefficientadministrationofthejusticesysteminVictoria,inanumberofways,includingfocussingon:

` Itspeopleanditsculture

` Courtusersandthecommunity

` Collaborativeserviceandinfrastructureplanninganddesign

` Innovativeservicedelivery

PEOPLE AND CULTURE

PeopleandCultureprovidesstrategicandinnovativesolutionstodeliveronworkforcedevelopmentandreform,workplaceculture,andtheoperationalmanagementofpeopleacrossCSV.Theteampromotesbestpracticeandcontinuousimprovementinpeoplemanagementwitheffectiveservicedeliveryenabledthroughresponsiverelationshipsandcollaborativesolutions.

PeopleandCulture’sbusinessplanisalignedtothestrategicagendasetbyCourtsCouncilandbasedontheneedsofeachjurisdictionasidentifiedthrougheffectiveongoingconsultation.TheHumanResourcesPortfolioCommitteeprovidesgovernanceandoversightsstrategicinitiatives.

HE ALTH, SAFET Y AND WELLBEING

CSViscommittedtoensuringallitsemployeesremainsafeandhealthyatwork,andpromotesapositivepreventativesafetycultureacrossalljurisdictions.Itcontinuestodevelopwholisticstrategiesandinitiativestoimprovethehealthsafetyandwellbeingofemployeesandtoensureaccesstoinformation.Theorganisationengagesandconsultswithcourtuserstoworktogethertocreateanunderstandingofthechangingnatureoftheenvironmentandtoimplementsystemsandcreateworkplacesthatminimiseriskstohealthandsafety.

During2019-20,CSVpromotedseveralhealthyworkplaceinitiatives,conductedawarenessprogramsandprovidedtargetedandstrategicoccupationalhealthandsafety(OH&S)professionaldevelopmentactivities.

Eachjurisdictioncontinuedtoimplementtheirowntailoredhealth,safetyandwellbeinginitiativesinconjunctionwithCSV-wideinitiatives.Theorganisationenhanceditswellbeingofferingssignificantlyduring2019-20inordertosupportitsstaffduringthecoronavirus(COVID-19)pandemic.Keyinitiativesintroducedincluderegularcommunications;healthandwellbeingwebinars;mindfulnesssessions;adedicatedPeopleandWellbeingHubontheintranet;andpulsechecksurveys.

CSVcompletedatwo-yearinitiativetoprovidevicarioustraumaprofessionaldevelopmentworkshops.TheworkshopsincludedIntroductiontoVicariousTraumaandSelf-Care;VicariousTraumaandSelf-CareforAdvancedPractitioners;VicariousTraumaandSelf-CareforLeaders;andVicariousTraumaandSelf-CareforKooristaff.Futureprofessionaldevelopmenttoincludethecontinuedbuildingofcapabilityisbeingconsideredbasedontheevaluationofthetwo-yearprogram.

TofurtherstrengthenCSV’shealthandsafetygovernance,theWorkplaceHealthandSafetySub-Committee(WHSS)wasestablishedduring2019-20.Asasub-committeeoftheAuditandRiskPortfolioCommittee,theWHSSisresponsibleforstrategicoversightandmonitoringtheimplementationandmaintenanceofaco-ordinated,collaborativeandsystematicapproachtoworkplacehealthandsafetyacrossCSV.TheremitoftheWHSSinvolvesclosecollaborationwiththeHumanResourcesPortfolioCommitteetoensureitsactivitiesreflectworkplacestrategyandobjectives.


TheinauguralmeetingoftheWHSSwasheldon12October2019wherecommitteememberswereinductedandtermsofreferenceendorsed.

CSVcontinueditsannualprogramtoofferinfluenzavaccinationstothejudiciaryandemployees.Duringthe2019-20financialyear,therewasanincreaseof11.6%ofjudicialofficersandemployeestakingtheopportunitytohaveaninfluenzavaccinationprovidedbyCSV.

During2019-20,aprojecttodevelopergonomicvideostoassiststafftoeffectivelysetuptheirworkstationtominimisetheriskofmusculoskeletalinjurywascompleted.Thesevideoswereparticularlyusefulwhenstaffwererequiredtorelocateandworkremotelyduetothecoronavirus(COVID-19)pandemic.

ABORIGINAL JUSTICE AGREEMENT 4

During2019-20,CSVcontinuedtoimplementinitiativesfundedthroughtheAboriginalJusticeAgreement4,includingthesesignificantdevelopmentsacrosscourtsandVCAT:

` EmploymentofaKooriFamilyEngagementOfficerattheCoronersCourttocasemanageKooricoronialcasestobetterassistandimprovetheexperienceofKoorifamiliesandensureculturallyappropriatepractices.

` StrengthenservicelevelsandensuretheunmetdemandsofKooriesaccessingtheKooriVOCATList.

` RecruitmentoftwoKooriEngagementOfficersandanAdministrationSupportOfficeratVCAT,alongwiththelaunchofaKooriHearingroomatOakleigh.

` ExpansionofCountyKooriCourttoWarrnamboolandGeelong,andtheMagistrates’KooriCourtinDandenongandHeidelberg,includingaKooriEngagementOfficerfortheGrampiansregion.

KOORI PROGR AMS AND INITIATIVES

TheKooriProgramsandInitiativesteammaintainsorganisationalfocusoncontemporaryapproachesrespondingtoallKoorimattersacrosscourtsandVCAT,Kooriesaccessingandusingthecriminalandcivilcourtsystem,CSVKooriStaffandtheKooricommunity.Thecentralisedroleandfunctionoftheunitprovidesacentralpointofcontactforexternalstakeholders,Kooricommunityandcommunityorganisations.Collaboratingacrossthejurisdictions,theKooriProgramsandInitiativesteamisresponsibleforcoordinatingthestrategicdevelopmentanddeliveryofVictoria’sKoorijusticepoliciesandprograms.

CSV SELF-DETERMINATION PL AN

ConsultationwasconductedtodraftaCSVSelf-determinationPlan,whichhasencouragedandsupportedVictoriancourtsandVCATtoestablishplanstobuildculturallyawareandinclusivecourtenvironmentsforKooriStaff,KooriagenciesandtheKooricommunityacrossVictoria,replacingtheKooriInclusionActionPlan(2016-2019).

TheCSVSelf-determinationPlanaimstoaddresstheover-representationofKooriesinthecriminaljusticesystemandtoimproveaccesstociviljusticebybuildingculturalawarenessandculturalcompetency.ThePlan’sobjectivesalsoincludethedevelopmentofgreaterrespectandunderstandingofculturalvalues,traditionsandcustomswhichunderpintheessenceofourKooriworkforceandtheKooricommunitywhoaccessCSVservices.


KOORI EMPLOYMENT PL AN

CSViscommittedtoattracting,developingandretainingKooritalent.InlinewiththeVictorianGovernment’sBarringDjinangAboriginalEmploymentStrategy,CSVledthereviewanddevelopmentofthe2020-2024KooriEmploymentPlanpledgingtoworktowardsathreepercentKooriemploymentrateacrosstheorganisation.

InJune2020,54staffidentifiedasAboriginaland/orTorresStraitIslander,representinga2.09percentKooriemploymentrateacrossCSV.ThispercentageexcludesEldersandRespectedPersons(ERPs),asERPsarecasualCSVemployeesandnotcountedinthefull-timeequivalentfigureswhichbuildthebasisforemploymentratecalculations.IfERPswereincludedintheKooriemploymentfigures,theCSVratewouldrisetooverfivepercent.TheERPsplayavitalroleacrossallKooriprograms,mostimportantlythroughtheirroleandparticipationintheKooriCourts.

BuildingonthepreviousKooriEmploymentPlan(2016-2019),therenewedplanoutlinesthesefocusareasthathavebeendevelopedthroughdirectKooristafffeedbackandextensiveconsultations:

` Kooriattractionandrecruitment

` Progressivecareerexperiences

` Culturalsafety

` SupportforKooriStaff

` Centraloversightandgovernance

KOORI SPECIFIC TR AINING

CSVplacesastrongfocusondeliveringculturallyappropriateandwellbeing-basedprogramsfortheKooriworkforce.In2020,theKooriProgramsandInitiativesteamestablishedaculturallyspecificsupportprogramforallKooriStaffandERPswhichencompassesculturaldebriefing.

KOORI CULTUR AL AWARENESS TR AINING

BuildingaworkplacethatisculturallyawareofKoorihistoryandthechallengesoftheKooricommunityisfundamentaltosecuretheretentionofKooristaffandtheprovisionofaculturallysafeservicetoKooricommunity.

AprogramofculturalawarenesstrainingwasdesignedanddeliveredtostaffandthoseengagingdirectlywiththeKooricommunity,withninesessionsdeliveredin2019-20.TheKooriEmploymentPlanhighlightsthattheparticipationinculturalawarenesstrainingislow.Inresponsetothis,workisbeingundertakentoimplementaculturalcomponentintotheCSVInductionprogram.

ABORIGINAL JUSTICE FORUM RESPONSIBILITIES

Asthepeakcoordinatingbodyresponsibleforoverseeingthedevelopment,implementationanddirectionoftheBurraLotjpaDunguludja(VictorianAboriginalJusticeAgreement),theAboriginalJusticeForumbringstogetherleadersoftheAboriginalCommunityandseniorrepresentativesofthecourts,justice,health,humanservices,andeducationdepartments,andAboriginalVictoria(withintheDepartmentofthePremierandCabinet).

CSVisrepresentedbyjudicialofficersfromtheCounty,Magistrates’andChildren’sCourts.TheKooriProgramsandInitiativesteamundertakesstatewidecoordinationforthejurisdictionsinresponsetorequestsfromtheAboriginalJusticeForum.

VICTORIAN GOVERNMENT REPORTING SERVICE

TheVictorianGovernmentReportingService(VGRS)supportsthecourts,particularlyforcriminaltrials,byensuringthatthecourtandtheinvolvedpartieshavetimelyaccesstoanaccuraterecordofcourtproceedings.During2019-20,theVGRScontinuedtomanageasignificantdemand


forrecordingandtranscriptservices,withapproximately25,758mattersdealtwith.Nearlyhalf,12,738ofthesemattersweretranscribedforthecourtsandcourtusers.Theremaining13,020matterswereonlyrecordedastherewasnorequirementforaproducedtranscript.

TheVGRSalsohadtoadapttorecordingandtranscribingmattersutilisingdifferenttechnologiesinresponsetothecoronavirus(COVID-19)pandemicandmattersbeingheardremotely,managingapproximately513videoconferencingmatters.

COURT SECURIT Y MODEL

CourtSecurityOfficers(CSOs)continuetoplayanintegralroleinthesafetyandsecurityofthecourtenvironmentthroughtheirpresenceandmanagementofentrypointstocourtvenues:detectingandeliminatingprohibitedandoffensiveweaponsfromenteringcourtsvenues;de-escalationofincidents;andescortingofvulnerablefamilyviolenceapplicantstovehicles.

ThedevelopmentofaCSVSecurityFramework,Standards,andasuiteofpoliciesandprocedureshelptofurtherstrengthenthesecurityenvironment.Thesefoundationalsecuritydocuments:

` alignwithrelevantinternationalandAustralianindustrystandards

` conformwithrelevantVictorianandCommonwealthlegislationandregulations

` reflectbestpracticeprotocolsrecommendedbybodiessuchastheVictorianAuditor-General’sOffice,theVictorianOmbudsmanandtheVictorianCommissionerforPrivacyandDataProtectionand

` alignwiththeAustralianGovernment’sProtectiveSecurityPolicyFramework.

TheCSVSecurityFrameworkpromotesoperationalandpolicyconsistencyacrossjurisdictionsandsites,aswellasarobustsecuritycultureacrossCSVtoensurethesafetyandsecurityofCSV’speople,informationandassets.TheSecurityStandardsare

alignedwiththeFrameworktooutlinebestpracticerequirementsfortheprovisionofoperational,physicalandelectronicsecuritysystemsatallCSVfacilities.Thepoliciesandprocedurescontainhigh-levelprinciplesandrequirementsandsetthedirectionaltoneofsecuritypracticeinCSV.

AcomprehensivesecurityassessmenthascommencedtodeterminethelevelofadherenceofeachsiteagainstthenewStandards.Theoutcomeofthesecurityassessmentwillbeusedtoprioritisesecurityworksacrossthestate.

Thiseffortisreinforcedbyaprogramtoreplaceobsoleteandoutdatedsecurityentranceequipment.Athoroughreviewofequipmentateverysecurityentranceacrossthestatewasundertakentounderstandthetypeandmodelofequipmentineachlocationaswellasthemaintenancehistorytoinformthereplacementprogram.

2019–20 VICTORIAN FIRE SE A SON

TheCSVEMTwasconvenedon25November2019inresponsetotheCodeRedbushfiresdeclarationtoensurethattheCourtsGroupwerepreparedforandbriefedonimpactsassociatedwiththebushfires.WitharoleinmonitoringandcoordinationacrossCSV,theSecurityandEmergencyManagementGroup(SEMG)provided:

` directsupporttotheCourtsGroupwithEmergencyManagementPlans

` participatedinStateEmergencyManagementTeamPlanning/Preparednessmeetings

` leadtheSub-PlanningTeam,preparingtworeportsdailyonthefiresandthepossibleissuestosupportthejurisdictionswiththeplanningandpreparednesstorespondtothefires,heatandsmokealerts.

ToembedtheprocessesandresponsibilitiesasprescribedinCSVBushfireandCodeRedPreparednessPolicy,SEMGalsofacilitateddeliveryoftheAustralasianInter-ServiceIncidentManagementSystem(AIIMS)trainingfortheCSVEMT.


RESP ONSIBL E M A N AGEMEN T A ND AC C OUN TA BIL I T YCSVdelivershighqualityadministrativeservicesandfacilitiesforjurisdictions,theCollegeandtheCommission.CSVistransparentandaccountableinmanaginganddeliveringtheseservices.

INTEGRIT Y FR AME WORK

SinceCourtsCouncil’sapprovalofCSV’sinauguralIntegrityFrameworkinMay2018,CSVhasstrengthenedandmadeinternalfraudandcorruptioncontrolsystemsmoretransparentunderthe Integrity At Workprogram.

Integrity At WorkenhancesCSV’smanyprevention,detectionandresponsemechanisms,resultinginthedevelopmentoftheIntegrityFrameworkAction(Control)Planfor2018-19.TheControlPlanalsoguidedCSV’sactivitiesin2019-20,supportingjurisdictionalenhancementstorobustintegritysystemsandcontributingtocommunicationonethicalandprofessionalpractisesforstaff.

Keyachievementsin2019-20include:

` CompletingCSV’sfirstjurisdictionwidefraudandcorruptionriskassessment,raisingtheprofileofjurisdictionalandbusinesslevelaccountabilitiesforkeyintegrityrisksnowembeddedinoperationalriskregisters.

` CompletingthefirstbiennialreviewoftheIntegrityFramework,ensuringworkforceaccessibilityandorganisationalreadinesstorespondtothechangingAustralianStandardforFraudandCorruptionControlscheduledfor2020-21.

DATA AND REPORTING

ManagingCSV’sdatawarehouseandcoordinatingarangeofreportingactivitiesisacorefunctionforCSV.Thedatawarehousehostsmorethan1.4billionrecordsandprovidesbusinessintelligencetoolstothejurisdictionsthatenableaccesstothisdata,with163activeusersregistered.

CSVrespondedto115adhocrequestsfordata,aswellascoordinatingthedeliveryofsignificantdatasetstotheProductivityCommissionfortheannualReportonGovernmentServices,theSentencingAdvisoryCouncilandtheAustralianBureauofStatistics.

RISK AND AUDIT

CSV’sRisk,AuditandInsurancefunctionsupportstheCourtsCounciltoexecuteitsresponsibilitiestodirectthemanagementofCSVrisk,supportingtheorganisationtoachieveitsobjectives.Italsomanagesthedeliveryoftheinternalauditprogram,andassistsjurisdictionswiththeidentificationandmanagementofrisk,buildingaculturewhereriskmanagementisembeddedinourdaytodayactivities.Buildingapositiveriskculture,onethatissharedandwellunderstoodacrossCSV,isintegraltoeffectiveriskidentificationandmanagement.

Keyachievementsfor2019-20include:

` Completingthetransitiontoanewinternalauditservicesprovider.

` Facilitatingthe2019-20internalauditprogram,whichincludedreviewofCSV’sAssetManagementAccountabilityFramework;CSV’smanagementofAuditActions;ProcurementCompliance;andCSV’scompliancewiththeStandingDirectionsoftheMinisterforFinance.


` IdentifyingandmanagingkeyorganisationalrisksmostlikelytoimpactachievementofCSV’sstrategicobjectives.

` ConductedareviewofCSV’sRiskManagementPolicyandRiskManagementFrameworktoensureregulatoryandbestpracticerequirementsaremet,applyingtheinternationalriskmanagementstandard.

` Conductedariskassessmentofarrangementsimplementedduringthecoronavirus(COVID-19)pandemictoensurecontinuationofcriticalservicesforCSV.

FINANCE SERVICES

Thejurisdictions,theCollegeandtheCommissionareseparatelyprovidedappropriationbyParliament.FinanceServicesworkscollaborativelywiththejurisdictionstoensureaconsistentandcoordinatedapproachtofinancialservices,includingthedevelopmentofbudgetstosupportthedeliveryofservicesandfacilities.

KeyachievementsofFinanceServicesduring2019-20include:

` Approvalofthe2019-20budgetwithinlegislativetimeframes.

` UnqualifiedfinancialauditreportsforCSVandtheCommissionfortheyearending30June2020.

` CompliancewithapplicablefinanceStandingDirectionsasissuedbytheAssistantTreasurer.

` ImplementationofarevisedteamstructuretobetteraligntheworkoffinanceserviceswiththeneedsofthecourtsandVCAT.

PROCUREMENT

TheProcurementgroupsupportsjurisdictionsandCSVtopurchaseassets,goodsandservices,constructionworksandservicesconsistentwithlegislationandGovernmentSupplyPolicy.

During2019-20,theProcurementgrouphascontinuedtoprogressthemulti-yearProcurementImprovementProgram,including:

` CommenceddevelopmentofaSocialProcurementStrategy.

` Continuede-Sourcingtechnologyprojecttodeliverastreamlined,efficientandfullyenabledsourcetocontractsystem.

` Commenceddevelopmentofanenhancedgovernanceandpolicyframeworkdesignedtoestablishanefficientandstreamlinedprocurementfunction.

` Progresseddevelopmentofatraininganddevelopmentprogram.

LEGAL AND GOVERNANCE

TheLegalandGovernanceteamprovidesabroadrangeofcorporatein-houselegalservicestoCSV,Victoria’scourtsandVCAT,aswellastheJudicialCollegeandJudicialCommission.TheteamsupportsCSVinfulfillingitsstatutoryandcomplianceobligations,andinrelationtointernalgovernance.


COURTS A SSET INFORMATION MANAGEMENT SYSTEM

During2019-20,CSVimplementedtheCourtsAssetInformationManagementSystem(CAIMS).CAIMSisacloud-basedcentralassetmanagementtoolwhichprovidesCSVwithbetterlifecyclemanagementincludingstreamliningtheprocessforreactive,preventativeandstrategicassetmaintenance.

CAIMSalsoincludesacontractormanagementtoolwhichenablesCSVtocentrallycapturecontractorcompliancesincludinginsurances,OHSinductionsandotherlegalobligations.ItalsoallowsCSVtoissuebroadcastcommunicationsandinstructionsfromwithinthetool,includingmaterialrelatedtocoronavirus(COVID-19).

A SSET MANAGEMENT ACCOUNTABILIT Y FR AME WORK

CSVisrequiredtocomplywiththeVictorianGovernmentAssetManagementAccountabilityFramework(AMAF).CSVembedstheprinciplesofAMAFinthewholeofitslifecycleassetmanagementsystem.

In2019-20,CSVconductedanAssetManagementSystemmaturityassessmentofitsassetportfoliousingtheAMAFrequirementsasabenchmark.TheresultsoftheassessmentshowthatCSVhasmadesignificantprogressacrossalmostalloftheAMAFrequirementsduringthepasttwelvemonths.

CSVhasinplacearoadmapofactivitiesfor2020-21whichwillcontinuetodrivebenefitsacrosstheorganisationasitcontinuestoembedanAssetManagementcultureacrosstheorganisation.

E XCEL L ENCE IN C OUR T, T RIBUN A L A ND JUDICI A L SUP P OR T SERV ICESExcellenceincourt,tribunalandjudicialsupportservicesisevidencedbythedeliveryofaccessibleandappropriateservicesandinvestmenttodelivercourtsthataresafe,easytoaccess,andcomfortable.Thisrequiresfitforpurposetechnologyincludingelectronicfilingandvideoconferencing,highlycapableandprofessionaladministrativestaff,andsound,proactivefiscalmanagement.

CA SE MANAGEMENT SYSTEM PROJECT

The2017-18StateBudgetprovidedCSVwith$89.2millionforamoderncasemanagementsystemfortheMagistrates’CourtandChildren’sCourt.ThiswaspartofthewholeofgovernmentresponsetotheRoyalCommissionintoFamilyViolence.

TheprojecthasmadesignificantprogresswithJournalTechnologiesappointedasCSV’stechnologypartnerinJuly2019.

Theinitialfocushasbeenondesigningandconfiguringthefirsttwomajorstagesoftheproject–civilandchildprotection.Anumberofearlysolutionelementssuchascourtordershavebeenbuilt,withsuccessfuldemonstrationsofthe‘proofofconcept’beingmadetocourtstaff.

Morethan25millioncourtrecordshavebeenvalidatedandsuccessfullymigratedfromtheoldcourtmanagementsystem,Courtlink,tothenewplatform,whilecurrentinteractionswithexternalstakeholdershavebeenmappedtoinformfutureprocessdesign.

Inresponsetothecoronavirus(COVID-19)pandemic,theMagistrates’Courtrequestedthedeliveryofkeyelementsincludingelectronicdocumentexchange,onlinepaymentsandautomatednotificationsbebroughtforwardtothesecondquarterofthe2020-21.


Thepandemichasnotimpactedthedeliveryschedule,andtheprojectisontargettobecompletedby2022.

SAFE, SECURE AND SUSTAINABLE COURTS AND TRIBUNAL S

During2019-20,CSVcontinuedtodeliveraprogramofplannedassetupgradeworksfocussedonimprovingsafety,securityandsustainabilityofcourtassetsacrossVictoria.Thisincludedessentialservicemaintenanceworkstocourtfiresuppressionsystems,upgradesandmaintenancetobuildingheatingandcoolingsystems,upgradestosecuritysystems,andreplacementoffurnitureandfurnishings.

AspartofitsobligationsundertheVictorianGovernmentAssetManagementAccountabilityFramework,CSVhasdevelopedarolling4-yearplanofassetmaintenance,upgradesandrenewalsacrosstheportfolio.ThisallowsCSVtoapplyamediumandlong-termstrategiclenstoitsassetportfolio,andplanbudgetsaccordingly.

DESIGN AND DE VELOPMENT OF SPECIALIST COURT FACILITIES

TheCSVInfrastructureOperationsandDeliveryunitundertookcapitalworkstodeliverarangeofprojectsaimedatsupportingtherolloutofspecialistcourtfacilitiesincluding:

` CompletionofworkstosupporttherecommendationsfromtheRoyalCommissionintoFamilyViolence,includingaccommodationforstaffandsupportagencies,creatingsafewaitingareas,interviewrooms,discreteentriesandseparatepathways.In2019-20,CSVcompletedprojectsatShepparton,BallaratandMoorabbin,andcommencedconstructionatFrankstonandHeidelberg.

` WorkstosupportYouthJusticeReformsintheChildren’sCourtincludingconstructionofadditionalcourtroomsandassociatedpublicspacesintheMelbourneCBD,and

commencementofdevelopmentofaChildren’sCourtfacilityinDandenong.

` CompletedworkstosupportspecialistKooriFamilyViolenceservicesatMildura.

` CommenceddevelopmentofapremisesfortheDrugCourtinDandenong.

` Deliveredthefirstofthreecommunity-basedvenuesforVCAT,includingthetribunal’sfirstKoorihearingroom.

BENDIGO L AW COURT DE VELOPMENT

ThedeliveryofafuturecourtthatplacestheneedsofBendigo’scourtusersatthecentreofitsoperationsiswelladvanced.Buildingdesignshavebeenfinalisedandoperationalplanninghascommenced.

ThefutureBendigoLawCourtwillbeadistinctivecivicpresence,withadesignthatisstronglyinformedbytheculturalimageryandknowledgeoftheDjaDjaWurrung,Bendigo’sTraditionalOwners.ThecourtalsotakesdesigninspirationfromthestrikingspiresandtowersofBendigo’sskyline,aswellasmoremodestexpressionsofBendigo’sbuiltarchitecturalheritage.

Thefuturecourtisdesignedforzeronetcarbonemissionsandwillbedigitallyenabledtoensurethosewhoworkincourtcanmakethebestuseofcurrentandfuturetechnologicalinnovations.

AnimportantaimforCSVistodesignthecourtwith,ratherthanforitsusers.Auser-centreddesignapproachwasusedtoengage145stakeholderstoJune2020inprogressivelydeveloping,testingandenhancingthebuildingdesign.ThosewhocontributedtothisprocessincludedjudicialofficersandstaffofthefivejurisdictionsthatwilloperateinthefutureBendigocourt,aswellasexternalagenciesandcommunityorganisations.


Thefinalroundofengagementswassuccessfullydeliveredonlineinresponsetothecoronavirus(COVID-19)pandemic,includingviaavirtualrealitywalk-throughapproachtocourtroomprototyping.

Developmentofthefuturecourt’sservicemodel,whichwilldefinetherangeofservicesoffered,whowilldeliverthem,andthekeyactivitiesandprocesses,commencedinMay2020.Thisworkisvitaltoensuringthecourtoperatesefficientlyandthattheintendedbenefitsofthedevelopmenttothecommunityandthosewhoworkincourtarerealised.

Atenderfortheearlyworks(sitepreparationandbasementexcavation)wasreleasedinJune2020andpreparationforthemainworks(buildingconstruction)tendercompleted.ThedevelopmentisonscheduleforcompletioninDecember2022.

STR ATEGIC A SSET PL AN

CSVisfinalisingitsnextgenerationStrategicAssetPlantoassistjurisdictionstorespondtotheincreasingpressureontheirfacilitiesandprovideanalysistoenablethemtoplanforfutureinfrastructureneeds.

Whencomplete,theStrategicAssetPlanwillprovideastatewideassetstrategythatidentifiesoptionsforfuturecourtservicedeliverymodels,sector-widedemandmodellingandmulti-jurisdictionalsharingoffunctionsandassetsacrossthecentralbusinessdistrict,metropolitanandregionalcourts.

Giventhepotentialimpactofthecoronavirus(COVID-19)pandemiconcourtassets,theplanwillalsoprovideaninitialanalysisandconsiderhowthepandemicmightimpactlongtermplanningforcourtassets.

PROPERT Y TR ANSACTIONS

Aleaseandfitoutforthecommunity-basedVCATvenueatOakleighwascompleted.NewsitesforBundooraandFrankstonwheresecured,andfitoutwascommencedatbothvenues.TheprojectaimstorelocateVCAThearingstosupporttheexpansionoffamilyviolenceprogramsatMoorabbin,FrankstonandHeidelbergCourts.

AleaseforanewsitefortheDandenongDrugCourtwassecured,andfitoutwascommenced.

DESIGN AND SUSTAINABLE PL ANNING

CSVestablishedtheDesignandSustainablePlanningunitin2019-20.Theunitincludesarchitects,plannersandsustainabilityexpertsthatarecriticaltoconceptualiseneworimprovedassets.Theydevelopthecourtusagebenchmarking,needsanalysis,projectbrief,architecturalconceptandpreliminaryprojectcosting.

Thisteam’skeyvalueisintheirtechnicalexpertiseanddeepknowledgeofcourtoperationsandfunctionality,andthisexperienceisbeingusedtodevelopaCourtsDesignGuide.PartoftheirroleistoensurecompliancewiththeClimate Change ActwhichrequiresallgovernmententitiestoreachZeroNetEmissionsby2050,aswellasyearlycompliancereportingagainstoverallemissions.

LE ARNING AND DE VELOPMENT

During2019-20,CSV’slearningteamcontinuedtodeliveracalendarofonlineandfacetofacelearningtosupportbroadcapabilitydevelopment.Throughoutthefirsthalfoftheyear,programsfocussedonleadershipandmanagement;individualdevelopmentthroughemotionalintelligenceandself-leadership;diversity;wellbeing;andwrittenandverbalcommunicationskills.

TheannualCSVmentoringprogramcontinuedwith20menteesbeingmatchedwithaseniormentorfromacrossthejurisdictions.Thementoring


pairswereprovidedwithongoingsupportthroughouttheyear,enablingdeeptargetedcapabilitydevelopment.

Withtheadventofthecoronavirus(COVID-19)pandemic,learninganddevelopmenteffortswererefocussedtosupportvirtualandonlinedelivery.Programsdeliveredvirtuallycoveredkeytechnicalskillsandperformancemanagement.Ergonomicmicro-learnsandvicarioustraumamoduleswerealsoreengineered,enablingthemtobehostedinCSV’sperformanceandlearningmanagementsystem.

Thetotalnumberofcompletionsforcapabilitybuildingprogramsthroughoutthe2019-20yearwas6,445foronlinemodules;1,436forfacetofaceprograms;and103forprogramsdeliveredviaavirtualplatform.

INFORMATION TECHNOLOGY

In2019-20,therewasanincreasedfocusonenhancingtechnologyacrossthecourtsandVCAT,andprovidingimprovedtechnologysolutionsandITservicestostaffandjudicialofficers.

Inthefirsthalfoftheyear,workcommenceddraftingadigitalstrategywithinvolvementacrosstheCourtsGroup,tounderstandtheirfuturetechnologyrequirementsandoperationalmodels.

Withtheonsetofthecoronavirus(COVID-19)pandemic,therewassignificantandimmediaterequirementfortechnologysolutionstoassistthecourtsandVCATtobemoremobileandworkremotelyeffectively.Thisincludedtheimplementationofseveralsignificantinitiatives:

` Adigitaldevicesolutionenablingstafftousetheirpersonalcomputinghardwaretoaccesscriticalworkapplications.

` Acloud-basedtelephonycontactcentreapplication.

` Twovideoconferencingsolutionswhichhaveensuredbusinesscontinuityforremoteaccesstojustice.

` Theintroductionofanelectronicsignaturesolutionallowinginternalandexternalpartiestoapplyalegallyvalidsignatureinawhollyelectronicandsecureenvironment.

` Aninternalhelpdesktosupportusersinadoptingandbecomingfamiliarwiththenewlyavailabletechnology.

TECHNOLOGY INDEPENDENCE FOR COURT SERVICES VICTORIA

WorktotransitiontheCountyCourttotheCenitexGovernmentSharedPlatform(GSP)wascompletedduring2019-20.TheGSPdeliversasignificanttechnologyupgradewiththeadoptionofWindows10andMicrosoft’sOffice365suiteofcloud-enabledapplications.

Thecompletionofthisactivitybeforetheonsetofthecoronavirus(COVID-19)pandemicenabledstafftomoreeasilyadapttoworkingremotelyandinamorecollaborativemanner.TheintegrationwiththeCenitexGSPhasensuredthatCSVhasbeenabletobemoreagileinadoptingthenewtechnologyforthemobilityofstaffandremoteworking.

IN-COURT TECHNOLOGY

Throughout2019-20,therehasbeenasignificanttechnologyupliftofaudio-visualtechnologyacrosscourtroomswithinseveraljurisdictions.

ThethirdphaseoftheCountyCourtenhancementsprogressedwith28courtroomsupgraded,includingthedeploymentoftouchscreensinwitnessboxestoenableevidenceannotationandimprovedhigherresolutionofplaybackandpresentationcontent.Theupgradesalsoprovidednewfunctionalitywiththecourtnowabletolivestreammatters.

In-courttechnologyupgradeswerealsorolledoutintheCoronersCourt,providingadditionalvideoconferencingfunctionality,andthenetworkwasalsoupgradedtoenhancethevideoconferencingcapabilities.Audio-visualtechnologyupgradesarecontinuinginseveraloftheregionalMagistrates’Courtssites.


OU T P U T P ERFORM A NCETheCSVoperationalandbudgetaryobjectivesandperformancearealignedwiththejurisdictions’performance.TheVictorianBudget2019-20outlinedthemissionstatement,objectivesandperformanceindicatorsforthecourtsoutput.

COURTS MISSION STATEMENT

Victoria’scourtsandtribunalssafeguardandmaintaintheruleoflawthroughthefair,timelyandefficientdispensingofjustice.

COURTS OBJECTIVE

Thefair,timelyandefficientdispensingofjustice.

COURTS INDICATORS

` Clearanceofcriminalcaseload(finalisations/lodgements)

` Clearanceofcivilcaseload(finalisations/lodgements)

Therewerenochangestothecourtsoutputstructurefor2019-20.

DatainrelationtothetwoclearancerateindicatorsisincludedinTable1witheachofthejurisdictions’outputmeasureresults.

Formoreinformationabouttheoutcomesanddatapresentedbelow,refertotheindividualannualreportsofeachjurisdiction.

INTERNATIONAL FR AME WORK FOR COURT E XCELLENCE

TheInternationalFrameworkforCourtExcellence(IFCE)isamanagementframeworkdesignedtohelpcourtsimprovetheirperformance.Developedforcourtuseinternationally,theframeworkcoversvalues,conceptsandtoolstoassessandimprovethequalityofjusticeandcourtadministrationwithinthecourtandtribunalsystem.

Thecourts’outputperformancemeasuresincorporatefouroftheInternationalFrameworkforCourtExcellenceGlobalMeasuresofCourtPerformance.


P ERFORM A NCE AGA INS T ME A SURESTABLE 1: COURTS OUTPUT – PERFORMANCE AGAINST MEASURES 2019-20

Performance measures Unit of measure

2019-20 estimate

2019-20 actual

Performance variation (%)

Quantity

Averagecostpercase–CivilmattersdisposedintheSupremeCourt dollars 2,770 2,927 5.74

The 2019-20 outcome deviates from the estimate primarily due to the impact of coronavirus. Due to changes in the Court’s operations in response to COVID-19, the number of finalisations was less than originally forecast. This, in conjunction with an increase in investment in technology to support the Court’s operations during COVID-19 resulting in increased overall costs, is reflected in the cost per case outcome. In addition, the Court’s heritage assets were revalued resulting in a change to depreciations costs.

Averagecostpercase–CivilmattersdisposedintheCountyCourt dollars 7,371 7,250 -1.6

Averagecostpercase–CivilmattersdisposedintheMagistrates’Court dollars 916 997 8.8

The 2019-20 outcome deviates from the estimate primarily due to the impact of coronavirus. Due to changes in the Court’s operations in response to COVID-19, the number of finalisations was less than originally forecast. This, in conjunction with an increase in investment in technology to support the Court’s operations during COVID-19 resulting in increased overall costs, is reflected in the cost per case outcome.

Averagecostpercase–FamilyDivisionmattersdisposedintheChildren’sCourt dollars 1,290 1,353 4.88

Averagecostpercase–CivilmattersdisposedinVictorianCivilandAdministrativeTribunal dollars 872 1,049 20.0

The 2019-20 outcome deviates from the estimate primarily due to the impact of coronavirus. Due to changes in the Tribunal’s operations in response to COVID-19, the number of finalisations was less than originally forecast. This, in conjunction with an increase in investment in technology to support the Court’s operations during COVID-19 resulting in increased overall costs, is reflected in the cost per case outcome.

Averagecostpercase–CoronialmattersdisposedintheCoronersCourt dollars 4,291 3,882 -9.5

The 2019-20 outcome deviates from the estimate due to the Court’s ability to increase the number of finalised cases for the year and reduce the cost per case outcome accordingly.

Averagecostpercase–CriminalmattersdisposedintheSupremeCourt dollars 48,149 47,722 -0.9

Averagecostpercase–CriminalmattersdisposedintheCountyCourt dollars 17,479 22,550 29.0

The 2019-20 outcome deviates from the estimate primarily due to the impact of coronavirus. Due to changes in the Court’s operations in response to COVID-19, the number of finalisations was less than originally forecast. This, in conjunction with an increase in investment in technology to support the Court’s operations during COVID-19 resulting in increased overall costs, is reflected in the cost per case outcome. In addition, the Court’s assets were revalued resulting in a change to depreciations costs.

Averagecostpercase–CriminalmattersdisposedintheMagistrates’Court dollars 1,134 1,585 39.8


Averagecostpercase–CriminalmattersdisposedintheChildren’sCourt dollars 1,015 1,425 40.39


Quantity

Caseclearancerate1–CivilmattersdisposedintheSupremeCourt percent 100

100.9(28,608/

28,358) 0.9



2019-20 estimate

2019-20 actual


Caseclearancerate–CivilmattersdisposedintheCountyCourt percent 100

89.1(5,770/

6,476) -10.9

The 2019-20 outcome deviates from the estimate due to a significant increase in Common Law initiations (approximately 16 per cent) compared to the 2018-19.

Caseclearancerate–CivilmattersdisposedintheMagistrates’Court percent 100

80.2(55,373/

69,081) -19.8

The 2019-20 outcome deviates from the estimate primarily due to the impact of coronavirus. The Court’s operations were impacted with a significant number of cases adjourned due to the need to comply with the public health measures of physical distancing and reducing the number of people in court buildings. This has resulted in a decrease in finalisations.

Caseclearancerate–FamilyDivisionmattersdisposedintheChildren’sCourt percent 100

87.7(19,754/22,531) -12.3

The 2019-20 outcome deviates from the estimate primarily due to the impact of coronavirus. Due to changes in the Court’s operations in response to COVID-19, the number of finalisations was less than originally forecast as a result of adjournments and delays in hearing cases.

Caseclearancerate–CivilmattersdisposedinVCAT percent 100

94.8(76,245/

80,423) -5.2

The 2019-20 outcome deviates from the estimate primarily due to the impact of coronavirus. The Tribunal’s operations were impacted with a significant number of cases unable to be heard.

Caseclearancerate–CoronialmattersdisposedintheCoronersCourt percent 100

93.0(6,841/

7,323) -6.6

The 2019-20 outcome deviates from the estimate. Although the case clearance rate increased in 2019-20 compared to 2018-19, it was impacted by a rising number of new cases.

Caseclearancerate–FamilyviolenceinterventionordersdisposedintheMagistrates’andChildren’sCourts percent 100

79.9(34,801/

43,566) -20.1

The 2019-20 outcome deviates from the estimate primarily due to the impact of coronavirus. The operations of the Magistrates’ and Children’s Courts were impacted due to the need to comply with the public health measures of physical distancing and reducing the number of people in court buildings. This resulted in a decrease in finalisations. However, it is important to note that while the case clearance rate was lower than forecast, the Courts have prioritised matters where affected family members require immediate protection via an interim intervention order or warrant.

Caseclearancerate–CriminalmattersdisposedintheSupremeCourt percent 100

104.4(588/

563) 4.4

Caseclearancerate–CriminalmattersdisposedintheCountyCourt percent 100

108.2(4,351/

4,020) 8.2

The 2019-20 outcome deviates from the estimate primarily due to the impact of coronavirus. Changes in the Court’s operations in response to COVID-19 resulted in the adjournment of jury trials, a prioritisation of some classes of matters (Pleas and Appeals), and a reduction in the number of initiations from the Magistrates' Court. This resulted in the clearance rate being higher than originally forecast.

Caseclearancerate–CriminalmattersdisposedintheMagistrates’Court percent 100

81.6(117,704/144,314) -18.4

The 2019-20 outcome deviates from the estimate primarily due to the impact of coronavirus. The Court’s operations were impacted with a significant number of cases adjourned due to the need to comply with the public health measures of physical distancing and reducing the number of people in court buildings. This has resulted in a decrease in finalisations. However, it is important to note that while the case clearance rate was lower than forecast, the Court prioritised hearing custodial matters via audio-visual link for bail applications, including variations and revocations, pleas of guilty in the summary stream and contest mentions to ensure these matters were dealt with in a timely manner.

Caseclearancerate–CriminalmattersdisposedintheChildren’sCourt percent 100

79(10,097/12,781) -21.0

The 2019-20 outcome deviates from the estimate primarily due to the impact of coronavirus. Due to changes in the Court’s operations in response to COVID-19, the number of finalisations was less than originally forecast as a result of adjournments and delays in hearing cases. In addition, there was an increase in initiations in 2019-20.



2019-20 estimate

2019-20 actual


Quality

CourtfileintegrityintheSupremeCourt–availability,accuracyandcompleteness percent 90 91 1.1

CourtfileintegrityintheCountyCourt–availability,accuracyandcompleteness percent 90 89 -1.1

CourtfileintegrityintheMagistrates’Court–availability,accuracyandcompleteness percent 90 90 0.0

CourtfileintegrityintheChildren’sCourt–availability,accuracyandcompleteness percent 90 89 -1.1

CourtfileintegrityintheCoronersCourt–availability,accuracyandcompleteness percent 90 86 -4.4

CourtfileintegrityinVCAT–availability,accuracyandcompleteness percent 90 87 3.0

Timeliness

Ontimecaseprocessing–CivilmattersresolvedorotherwisefinalisedwithinestablishedtimeframesintheSupremeCourt percent 90 86 -4.4

Ontimecaseprocessing–CivilmattersresolvedorotherwisefinalisedwithinestablishedtimeframesintheCountyCourt percent 90 88.5 -1.7

Ontimecaseprocessing–CivilmattersresolvedorotherwisefinalisedwithinestablishedtimeframesintheMagistrates’Court percent 80 85.1 6.4

The 2019-20 outcome deviates from the estimate due to prioritisation of urgent matters during the COVID-19 pandemic with the majority of matters finalised relating to family violence and personal safety.

Ontimecaseprocessing–FamilyDivisionmattersresolvedorotherwisefinalisedwithinestablishedtimeframesintheChildren’sCourt percent 90 89.13 -1.0

Ontimecaseprocessing–CivilmattersresolvedorotherwisefinalisedwithinestablishedtimeframesinVCAT percent 90 95 5.0

The 2019-20 outcome deviates from the estimate due principally to higher than expected settlement rates in fast-track mediations in the Civil Claims List. The improvement to on-time case processing is typically associated with less complex case types.

Ontimecaseprocessing–CoronialmattersresolvedorotherwisefinalisedwithinestablishedtimeframesintheCoronersCourt percent 80 82 2.2

Ontimecaseprocessing–CriminalmattersresolvedorotherwisefinalisedwithinestablishedtimeframesintheSupremeCourt percent 85 73 -14.1

The 2019-20 outcome deviates from the estimate due to the Trial Division clearing a backlog of older cases throughout 2019-20, two major Hazelwood fire trials including multiple accused and a higher than usual number of complex Commonwealth cases. In the Court of Appeal, time to finalisation has increased as a result of a sharp increase in initiations in 2018-19, including a 43 per cent increase in conviction appeals.

Ontimecaseprocessing–CriminalmattersresolvedorotherwisefinalisedwithinestablishedtimeframesintheCountyCourt percent 90 82.3 -8.6

The 2019-20 outcome deviates from the estimate primarily due to the impact of coronavirus. Changes in the Court’s operations in response to COVID-19 contributed to an increase in time to trial. In addition, there was a decrease in number of Appeal matters heard (26 per cent compared to 2018-19) – Appeals, being shorter in duration, have typically driven up timeliness results and the sizeable drop has affected the result. This resulted in on-time case processing being lower than originally forecast.



2019-20 estimate

2019-20 actual


Ontimecaseprocessing–CriminalmattersresolvedorotherwisefinalisedwithinestablishedtimeframesintheMagistrates’Court percent 85 70.1 -17.5

The 2019-20 outcome deviates from the estimate due to an overall increase in the proportion of complex matters represented in the observation, including as a result of counting rule changes.

Ontimecaseprocessing–CriminalmattersresolvedorotherwisefinalisedwithinestablishedtimeframesintheChildren’sCourt percent 90 90.1 0.1

On-timecaseprocessing–FamilyviolenceinterventionordersresolvedorotherwisefinalisedwithinestablishedtimeframesintheMagistrates’andChildren’sCourts percent 90 88.9 -1.2

Cost

Totaloutputcost $million 666.7 673.8 1.1

1. The case clearance rate is calculated as (number of cases disposed/number of cases initiated).


FIN A NCI A L SUMM A RY A ND RE V IE WThebudgetoutcomesprovideacomparisonbetweentheactualfinancialstatementsofCSVandtheforecastfinancialinformation(initialbudgetestimates)publishedinBudgetPaperNo.5StatementofFinances.

ThebudgetoutcomesstatementisnotsubjecttoauditbytheVictorianAuditor-General’sOfficeandisnotpreparedonthesamebasisastheCSVfinancialstatements.

Refertothefinancialstatementsforcomparisonofbudgetandactual.

FIVE-YE AR FINANCIAL SUMMARY

TABLE 2: FIVE-YEAR FINANCIAL SUMMARY

2019-20 $’000

2018-19 $’000

2017-18 $’000

2016-17 $’000

2015-16 $’000

RevenuefromGovernment 647,903 586,423 521,896 457,763 432,701

Totalincomefromtransactions 673,520 614,588 546,574 490,874 457,819

Totalexpensesfromtransactions1 669,003 612,360 540,393 493,412 458,291

Netresultfromtransactions–surplus/(deficit)1 4,517 2,228 6,182 (2,539) (472)

Comprehensiveresult1 44,337 49,258 69,838 5,577 178,347

Netcashflowfromoperatingactivities 52,948 74,563 51,693 31,646 25,957

Total assets1 1,328,449 1,128,001 1,196,741 1,086,817 1,064,833

Total liabilities 286,581 199,630 191,357 187,139 190,256

Note:

1. 2018-19 restated

COURT SERVICES VICTORIA CURRENT YE AR FINANCIAL RE VIE W

` CSVconsidersthenetresultfromtransactionstobetheappropriatemeasureoffinancialmanagementthatcanbedirectlyattributedtogovernmentpolicy.Thismeasureexcludestheeffectsofrevaluations(holdinggainsorlosses)arisingfromchangesinmarketpricesandotherchangesinthevolumeofassetsshownunder‘othereconomicflows’onthecomprehensiveoperatingstatement,whichareoutsidethecontrolofCSV.

` In2019-20CSV’snetresultfromtransactionswasasurplusof$4.5millionthatcomprisesatotalincomeof$673.5million1andexpenditureof$669.0million.

` CSV’snetassetsof$1.042billioncomprisestotalassetsof$1.329billionandliabilitiesof$0.287billion.Furtherdetailsareprovidedinthebalancesheetinthefinancialstatements.

Note:

1. This figure relates to actual revenue.


BUDGET ALLOCATION

CSV’sbudgetisallocatedtoeachofthejurisdictions,JurisdictionServices,theCollegeandtheCommission,inaccordancewithbudgetsapprovedbytheAttorney-Generalundersection41oftheCourt Services Victoria Act.

TheCSVbudgetbreakdownforthepurposesofcorporatefunctions,thejurisdictions,theCollege,andtheCommissionisshowninTable3,andincludesfundingfromannualandspecialappropriations,aswellastrustfunding.ChargesrelatingtothecorporatefunctionssetoutbelowincludethewholeofCSVcharges,suchascapitalassetchargesanddepreciation.

Builtintoappropriationfundingisdepreciation,rent,accommodationandacapitalassetcharge.Theseareclassifiedasnon-discretionaryitemsandfundingisheldandmanagedcentrallybyCSV.

ThebudgetallocationprofilesofJurisdictionServicesandSharedSupportServices,thejurisdictions,theCollege,andtheCommissionarebasedonanhistoricalallocationsprofileadjustedforsavings,indexationandnewfunding.

TABLE 3: COURT SERVICES VICTORIA’S BUDGET ALLOCATION BY JURISDICTION

By business area 2019-20 Published budget

$m

2019-20 Revised budget

$m

SupremeCourtofVictoria 84.0 90.0

CountyCourtofVictoria 104.6 111.8

Magistrates’CourtofVictoria 217.4 229.6

VictorianCivil&AdministrativeTribunal 54.4 66.7

Children’sCourtofVictoria 28.1 31.7

CoronersCourtofVictoria 19.5 23.1

JudicialCollegeofVictoria 3.9 4.4

JudicialCommissionofVictoria 1.4 3.3

JurisdictionServices 72.0 79.3

SharedSupportServices 81.3 51.1

Total Court Services Victoria 666.7 691.1

Notes:

1. The total CSV budget is income from transactions. Refer to Budget Paper No. 3 for further information.

2. Shared Support Services captures expenditure for non-discretionary contract commitments entered into and managed by CSV on behalf of the jurisdictions.

37

DISCLOSURE OF GR ANTS AND TR ANSFER PAYMENTS (OTHER THAN CONTRIBUTIONS BY OWNERS)

CSVhasprovidedassistancetocertaincompaniesandorganisations.Financialassistanceprovidedin2019-20isdetailedbelow.

TABLE 4: GRANT AND OTHER TRANSFER PAYMENTS

OrganisationNature of grant and other transfer payment

Expenditure (excluding GST)

$

CorrectionsVictoria 2019-20DrugCourtFundingContribution 400,000

McAuleyCommunityServicesforWomen SupportforWomenandChildren 455,737

DepartmentofHealthandHumanServices TargetedWomensCorrectionalResponseProgram

86,167

DepartmentofHealthandHumanServices AlcoholandOtherDrugTreatmentServicesforParticipantsoftheCourtIntegratedServicesProgram(CISP)

3,666,650

DepartmentofHealthandHumanServices WAYYSEmergencyHousingSupport 388,370

DepartmentofHealthandHumanServices ForensicMentalHealthImplementationPlan

160,400

CourtNetwork CourtServicesNetworkAgreement 1,080,000

TheAllanah&MadelineFoundation 2019-20GrantContribution 250,000

SupremeCourtLawLibrary 2019-20GrantContribution 944,381

AustralianBureauofStatistics NationalCriminalCourtsStatisticsUnitInter-GovernmentalAgreement

81,037

JudicialCollegeofVictoria 2019-20OutputAppropriationFunding 4,887,852

JudicialCommissionofVictoria 2019-20OutputAppropriationFunding 3,058,493

Total 15,459,087


SEC T ION 3

WORK FORCE DATA



WORK FORCE DATAThePeopleandCulturedivisionmonitorsCSVstatewideworkforcedata.Thefollowingtableincludesdataforactualfull-timeequivalent(FTE)

VictorianPublicService(VPS)employeesanddoesnotincludestatutoryappointees.

TABLE 5: DETAILS OF EMPLOYMENT LEVELS IN JUNE 2019 AND JUNE 2020

30 June 2019 30 June 2020

All employees Ongoing Fixed term and casual


Number (headcount) FTE

Full-time (headcount)

Part-time (headcount) FTE






Demographic data Demographic data

Gender Gender

Women 1,507 1,394 994 254 1,152.1 259 241.9 Women 1,664 1,535.9 1,114 272 1,285.4 278 250.5

Men 658 646.6 488 29 507.7 141 138.9 Men 704 678.5 507 33 527.5 164 151

Self-described 2 2 2 0 2 0 0 Self-described 2 1.9 1 1 1.9 0 0

Age Age

Under25 219 213.2 171 2 172.3 46 40.9 Under25 233 229.7 192 2 193 39 36.7

25-34 788 757.9 519 61 554.7 208 203.2 25-34 848 817.8 567 64 606.5 217 211.3

35-44 451 408.7 286 103 350.1 62 58.6 35-44 509 462.8 327 113 398.4 69 64.4

45-54 355 330.5 243 65 286.2 47 44.3 45-54 380 351.4 261 68 304 51 47.4

55-64 276 258.9 203 44 231.9 29 27 55-64 302 277.6 215 47 245.9 40 31.7

Over64 78 73.4 62 8 66.6 8 6.8 Over64 98 77 60 12 67 26 10

Classification data Classification data

VPS1 2 2 0 0 0 2 2 VPS1 2 2 0 0 0 2 2

VPS2 361 338.2 232 45 262.7 84 75.5 VPS2 347 322.8 231 54 265.8 62 57

VPS3 470 450.4 243 46 272.7 181 177.7 VPS3 504 482.7 273 46 302 185 180.7

VPS4 344 321.3 230 57 267.6 57 53.7 VPS4 373 349 261 61 300.3 51 48.7

VPS5 224 215 153 26 171.5 45 43.5 VPS5 289 253.9 163 33 187.2 93 66.7

VPS6 147 141.6 110 12 117.9 25 23.7 VPS6 184 178 128 13 136.2 43 41.8

AlliedHealth3 2 1.1 0 2 1.1 0 0 AlliedHealth3 2 1.1 0 2 1.1 0 0

TraineeRegistrar 219 216.6 214 5 216.6 0 0 TraineeRegistrar 252 248.3 243 9 248.3 0 0

DeputyRegistrar 49 42.9 37 12 42.9 0 0 DeputyRegistrar 50 46.1 41 9 46.1 0 0

RegistrarGrade3 199 176.6 146 50 174.9 3 1.7 RegistrarGrade3 216 194 161 53 193.2 2 0.8

RegistrarGrade4 44 40.4 36 8 40.4 0 0 RegistrarGrade4 43 40.3 36 7 40.3 0 0

RegistrarGrade5 52 48 42 10 48 0 0 RegistrarGrade5 50 45.7 38 12 45.7 0 0

RegistrarGrade6 17 17 17 0 17 0 0 RegistrarGrade6 17 17 17 0 17 0 0

SolicitorGrade3 1 0.8 0 1 0.8 0 0 SolicitorGrade3 1 1 1 0 1 0 0

Total 2,131 2,011.9 1,460 274 1,634.1 397 377.8 Total 2,330 2,181.9 1,593 299 1,784.2 438 397.7

STS 21 15.8 10 8 12.8 3 3 STS 22 16.8 12 6 13 4 3.8

ExecutiveOfficer1 1 1 1 0 1 0 0 ExecutiveOfficer1 1 1 1 0 1 0 0

ExecutiveOfficer2 7 6.9 6 1 6.9 0 0 ExecutiveOfficer2 6 5.6 5 1 5.6 0 0


Total senior employees 36 30.7 24 9 27.7 3 3

Total senior employees 40 34.4 29 7 30.6 4 3.8

Total employees 2,167 2,042.6 1,484 283 1,661.8 400 380.8 Total employees 2,370 2,216.3 1,622 306 1,814.8 442 401.5


30 June 2019 30 June 2020











Demographic data Demographic data

Gender Gender

Women 1,507 1,394 994 254 1,152.1 259 241.9 Women 1,664 1,535.9 1,114 272 1,285.4 278 250.5

Men 658 646.6 488 29 507.7 141 138.9 Men 704 678.5 507 33 527.5 164 151

Self-described 2 2 2 0 2 0 0 Self-described 2 1.9 1 1 1.9 0 0

Age Age

Under25 219 213.2 171 2 172.3 46 40.9 Under25 233 229.7 192 2 193 39 36.7

25-34 788 757.9 519 61 554.7 208 203.2 25-34 848 817.8 567 64 606.5 217 211.3

35-44 451 408.7 286 103 350.1 62 58.6 35-44 509 462.8 327 113 398.4 69 64.4

45-54 355 330.5 243 65 286.2 47 44.3 45-54 380 351.4 261 68 304 51 47.4

55-64 276 258.9 203 44 231.9 29 27 55-64 302 277.6 215 47 245.9 40 31.7

Over64 78 73.4 62 8 66.6 8 6.8 Over64 98 77 60 12 67 26 10

Classification data Classification data

VPS1 2 2 0 0 0 2 2 VPS1 2 2 0 0 0 2 2

VPS2 361 338.2 232 45 262.7 84 75.5 VPS2 347 322.8 231 54 265.8 62 57

VPS3 470 450.4 243 46 272.7 181 177.7 VPS3 504 482.7 273 46 302 185 180.7

VPS4 344 321.3 230 57 267.6 57 53.7 VPS4 373 349 261 61 300.3 51 48.7

VPS5 224 215 153 26 171.5 45 43.5 VPS5 289 253.9 163 33 187.2 93 66.7

VPS6 147 141.6 110 12 117.9 25 23.7 VPS6 184 178 128 13 136.2 43 41.8

AlliedHealth3 2 1.1 0 2 1.1 0 0 AlliedHealth3 2 1.1 0 2 1.1 0 0

TraineeRegistrar 219 216.6 214 5 216.6 0 0 TraineeRegistrar 252 248.3 243 9 248.3 0 0

DeputyRegistrar 49 42.9 37 12 42.9 0 0 DeputyRegistrar 50 46.1 41 9 46.1 0 0

RegistrarGrade3 199 176.6 146 50 174.9 3 1.7 RegistrarGrade3 216 194 161 53 193.2 2 0.8

RegistrarGrade4 44 40.4 36 8 40.4 0 0 RegistrarGrade4 43 40.3 36 7 40.3 0 0

RegistrarGrade5 52 48 42 10 48 0 0 RegistrarGrade5 50 45.7 38 12 45.7 0 0

RegistrarGrade6 17 17 17 0 17 0 0 RegistrarGrade6 17 17 17 0 17 0 0

SolicitorGrade3 1 0.8 0 1 0.8 0 0 SolicitorGrade3 1 1 1 0 1 0 0

Total 2,131 2,011.9 1,460 274 1,634.1 397 377.8 Total 2,330 2,181.9 1,593 299 1,784.2 438 397.7

STS 21 15.8 10 8 12.8 3 3 STS 22 16.8 12 6 13 4 3.8


ExecutiveOfficer2 7 6.9 6 1 6.9 0 0 ExecutiveOfficer2 6 5.6 5 1 5.6 0 0


Total senior employees 36 30.7 24 9 27.7 3 3

Total senior employees 40 34.4 29 7 30.6 4 3.8

Total employees 2,167 2,042.6 1,484 283 1,661.8 400 380.8 Total employees 2,370 2,216.3 1,622 306 1,814.8 442 401.5


Notes:

1. All figures reflect active employees in the last pay period of June each year. The figures exclude those persons on leave without pay or absent on secondment, external contractors/consultants and temporary staff employed through recruitment agencies. ‘Ongoing employee’ means people engaged on open-ended contracts of employment and executive officers on a standard executive contract who were active in the last pay period of June each year. Judicial officers are not included.

2. The above figures include all employees defined as CSV staff in section 3 of the CSV; the CSV Chief Executive Officer; a Court Chief Executive Officer; a person employed under section 36; a judicial employee.

3. The above figures do not include the Chief Executive Officer of the College; staff employed under section 16 (2) of the Judicial College of Victoria Act 2001; the Director of the Commission or staff of the Commission under the Judicial Commission of Victoria Act 2016, as the College and the Commission are separate reporting entities.

4. For the purposes of practicality, as a true reflection of the CSV workforce, and for ease of comparison with data reported in previous years, FTE figures have not been rounded to the nearest whole number.

E X ECU T I V E OFFICER DATAAnexecutiveofficerisdefinedasapersonemployedasapublicservicebodyheadorotherexecutiveunderPart3,Division5ofthePublicAdministrationAct2004.AllfiguresreflectemploymentlevelsatthelastfullpayperiodinJuneofthecurrentandcorrespondingpreviousreportingyear.

ThedefinitionofexecutiveofficerdoesnotincludeGovernorinCouncilappointmentsasstatutoryofficeholders.

TABLE 6: NUMBER OF EXECUTIVE OFFICERS BY GENDER AT 30 JUNE 2020

All Women Men Self-described

Class Number Variance Number Variance Number Variance Number Variance

EO-1 1 0 1 0 0 0 0 0

EO-2 6 -1 3 0 3 -1 0 0

EO-3 11 +4 7 +2 4 +2 0 0

Total 18 +3 11 +2 7 +1 0 0

Note:

‘Variance’ refers to the variation in number between the current and previous reporting periods.

ThenumberofexecutivesintheReportofOperationsisbasedonthenumberofexecutivepositionsthatareoccupiedattheendofthefinancialyear.Note9.3intheFinancialStatementsliststheactualnumberofexecutiveofficersandthetotalremunerationpaidtoexecutiveofficersoverthecourseofthereportingperiod.Note9.3doesnotincludetheCSVChiefExecutiveOfficer(AccountableOfficer),theChiefExecutiveOfficeroftheCollege,ortheDirectoroftheCommission,nordoesitdistinguishbetweenexecutivelevelsordiscloseseparations.SeparationsareexecutiveswhohaveleftCSVduringtherelevantreportingperiod.Toassistreaders,thesenumbersarereconciledinTable7.

TABLE 7: RECONCILIATION OF EXECUTIVE NUMBERS

Item 2019 2020

Executives(aslistedinFinancialStatement) 19 22

AccountableOfficer 2 1

LessSeparations (6) (5)

Total executive numbers at 30 June 15 18

Note:

The Chief Executive Officer of the College and the Director of the Commission are excluded from the above table. The College and the Commission are separate reporting entities and produce their own annual reports.


ThefollowingtabledisclosestheannualisedtotalsalaryforsenioremployeesofCSV,categorisedbyclassification.Thesalaryamountisreportedasthefull-timeannualisedsalary.

TABLE 8: ANNUALISED TOTAL SALARY FOR EXECUTIVES AND OTHER SENIOR EMPLOYEES

Income Band Executives STS

<$160,000 1 0

$160,000–$179,999 2 5

$180,000–$199,999 7 4

$200,000–$219,999 1 4

$220,000–$239,999 1 93

$240,000–$259,999 24 0

$260,000–$279,999 0 0

$280,000–$499,999 3 0

Total 17 22

Notes:

1. The contracted remuneration of executives and payments to senior staff is the total salary amount, excluding superannuation (company and employee), and vehicle leasing arrangements as at the last full pay period in June of the reporting period.

2. This table does not include the CSV Chief Executive Officer (Accountable Officer), the Chief Executive Officer of the College, or the Director of Commission as the College and the Commission are separate reporting entities.

3. There are seven employees employed on a part-time basis: 2 at 0.1 FTE rate, 4 at 0.2 FTE rate, and 1 at 0.8 FTE rate.

4. There is one executive employed on a part-time basis at a 0.6 FTE rate.

EMPLOYMENT AND CONDUCT PRINCIPLES

CSVcontinuedtorespectandupholdtheVictorianPublicSectorEmploymentPrinciplesandStandardsoffairandreasonabletreatment,meritinemployment,equalemploymentopportunity,upholdinghumanrights,ensuringareasonableavenueofredress,andfosteringthedevelopmentofacareerpublicservice.

CSViscommittedtoapplyingmeritandequityprincipleswhenappointingstaff.Selectionprocessesensureapplicantsareassessedwithoutdiscriminationonthebasisofthekeyselectioncriteriaandkeyaccountabilities.Trainingisprovidedtohiringmanagersandselectionandrecruitmentprocessesarecontinuouslyimprovedtoensurefairandequitableprocesses.Employeeshavebeencorrectlyclassifiedinworkforcedatacollections.


P ERFORM A NCE AGA INS T OH&S ME A SURESTherewere18standardWorkSafeclaimslodgedduring2019-20,comparedwith17claimsforthepreviousfinancialyear.Thenumberofclaimsexceeding13weeksofpaidcompensationreducedfromfivetothreeduring2019-20,withCSVbeingabletooffersuitableandsustainabledutiesacrossalljurisdictions.Therewasacontinuedfocusonsupportingstaffwholodgeaclaim.

During2019-20,therewasatotalof251reportedincidentscomparedto164in2018-19.ThenumberofincidentsreportedbyCSVstaffwas183andafurther68incidentswerelodgedbycourtusers.TheincreaseinthenumberofreportedincidentscaninpartbeattributedtotheVictorianbushfiresandthecoronavirus(COVID-19)pandemic,when

staffwereencouragedtoreportanyincidents,includingpotentialincidentsandnearmisses,toinformaproactiveapproachtohealth,safetyandriskmanagement.

Theincreaseinreportingofincidentsgenerallydemonstratestheincreasingawarenessoftheimportanceofreportinghazards,nearmissesandincidents,includingthoserelatedtotheenvironment.CSVwillcontinuetopromotetheimportanceofreportinghealthandsafetyissues,risksandhazardstoassistinminimisingtheriskstostaffandcourtusers.Theraisingandreportingofissuesisaneffectivemethodofcapturingdatatoidentifyfutureriskstoenableaproactiveapproachtohealthandsafety.

TABLE 9: PERFORMANCE AGAINST OH&S MEASURES

Measure KPI 2017-18 2018-19 2019-20

Incidents Numberofincidents1 159 164 251

Rateper100FTE2 7.2 6.7 6.4

Numberofincidentsrequiringfirstaidand/orfurthermedicaltreatment 96 87 119

Claims3 Numberofstandardclaims 16 17 18

Rateper100FTE 0.7204 0.69901 0.68702

Numberoflosttimeclaims 6 6 8

Rateper100FTE 0.27015 0.24671 0.30534

Numberofclaimsexceeding13weeks 1 5 3

Rateper100FTE 0.04502 0.20559 0.1145

Fatalities3 Fatalityclaims 1 0 0

Claimscosts3 Averagecostperstandardclaim4 $115,217 $92,654 $66,415

Returntowork PercentageclaimswithRTWplan>30days 100% 100% 100%

Managementcommitment

EvidenceofOH&Spolicystatement,OH&Sobjectives,regularreportingtoseniormanagementofOH&S,andOH&Splans(signedbyChiefExecutiveOfficerorequivalent) Completed Completed Completed

EvidenceofOH&Scriteria(s)inpurchasingguidelines(includinggoods,servicesandpersonnel) Completed Completed Completed

Consultationandparticipation

Evidenceofagreedstructureofdesignatedworkgroups(DWGs),healthandsafetyrepresentatives(HSRs),andissueresolutionprocedures(IRPs) Completed Completed Completed

CompliancewithagreedstructureonDWGs,HSRsandIRPs Completed Completed Completed

RiskManagement

NumberofImprovementNoticesissuedacrossCSVbyWorkSafeInspector 1 6 2


Notes:

1. Includes staff and court users.

2. FTE is based on number of staff incidents only.

3. WorkSafe Victoria data for 2019-20 was received on 8 September 2020.

4. The average claim costs reported each financial year is subject to change as costs vary over time to incorporate payments made to date and estimated future payments.

REGUL AR INTERNAL AUDITS CONDUCTED AND ISSUES IDENTIFIED AND ACTIONED DURING 2019-20

` CSVandthejurisdictionscontinuedtomonitorandundertakeworkplaceinspectionstoidentifyphysical,psychologicalandenvironmentalrisks,andimplementchangestoaddressrisks.

` AllProvisionalImprovementNoticesandWorkSafenoticeswere100%actionedduring2019-20.

` Extensivecoronavirus(COVID-19)riskassessmentsandauditswereconductedduringthesecondhalfofthefinancialyeartoensuresafetyforthoseessentialstaffwhowerepermittedtoattendworkplaces,andtoprepareforareturnofstaffworkingremotelywhenrestrictionsarelifted.

` Riskswhenworkingfromhomewerecontinuallymonitoredandstaffconsultedoncontrolmeasuresandsupportstominimiserisksandimprovehealthandwellbeing.

MANAGERS, HE ALTH AND SAFET Y REPRESENTATIVES AND OTHER STAFF TR AINED DURING 2019-20

` CSVmanagersandstaffareencouragedtoundertakeprofessionaldevelopmentopportunitiesincludingthoserelatingtohealth,safetyandwellbeing.

` HealthandSafetyRepresentativeswereencouragedtoundertaketheinitialfive-daytrainingandrefreshertrainingtobetterequipmentthemtoundertaketheirroles.

` Arangeofmentalhealthandwellbeingprogramsweredevelopedtosupportmanagersandassiststaffworkingremotelyasaresultofthecoronavirus(COVID-19)pandemic.Thisincludedsessionsonleadinginanxioustimesformanagers;takingcareofmentalhealthandwellbeingforbothmanagersandstaff;andmindfulness.

` Otherkeyinitiativesincluded:

» theprovisionofvicarioustraumaprofessionaldevelopmentworkshops

» developmentofergonomicvideos

» superannuationpresentationsandtheopportunityforstafftohavea1:1session

» activitiesforWomen’sHealthWeekMen’sHealthWeek;andRUOK?Day.

46

SEC T ION 4

OTHER DISCLOSURES


LOC A L JOB S FIRS TTheLocal Jobs First Act 2003introducedinAugust2018bringstogethertheVictorianIndustryParticipationPolicy(VIPP)andMajorProjectSkillsGuarantee(MPSG)policywhichwerepreviouslyadministeredseparately.

DepartmentsandpublicsectorbodiesarerequiredtoapplytheLocalJobsFirstpolicyinallprojectsvaluedat$3millionormoreinMetropolitanMelbourneorforstatewideprojects,or$1millionormoreforprojectsinregionalVictoria.

MajorProjectSkillsGuaranteeappliestoallconstructionprojectsvaluedat$20millionormore.

TheMajorProjectSkillsGuaranteeguidelinesandVictorianIndustryParticipationPolicyguidelinescontinuetoapplytoMajorProjectSkillsGuaranteeapplicableandVictorianIndustryParticipationPolicyapplicableprojectsrespectivelywherecontractshavebeenenteredpriorto15August2018.

PROJECTS COMMENCED – LOCAL JOBS FIRST STANDARD

During2019-20,CSVcommencednineLocalJobsFirststandardprojectstotalling$26.02million.Ofthoseprojects,onewaslocatedinregionalVictoria,withanaveragecommitmentof80percentoflocalcontent,andseveninmetropolitanMelbourne,withanaveragecommitmentof85percentlocalcontent.Oneprojectcommencedthatoccurredstatewide,withanaveragecommitmentof100percentlocalcontent.TheMajorProjectSkillsGuaranteeappliedtothisproject.

TheoutcomesexpectedfromtheimplementationoftheLocalJobsFirstpolicytotheseprojectswhereinformationwasprovided,areasfollows:

` Anaverageof86percentoflocalcontentcommitmentwasmade.

` Atotalof109.34jobs(annualisedemployeeequivalent(AEE))werecommitted,includingthecreationof12newjobsandtheretentionof97.34existingjobs(AEE).

` Atotalof12.02positionsforapprentices,traineeships,andcadets.

PROJECTS COMPLETED – LOCAL JOBS FIRST STANDARD

During2019-20,CSVcompletedtwoLocalJobsFirststandardprojects,totalling$4.04million.Ofthoseprojects,onewaslocatedinregionalVictoria.Nocompletedprojectsoccurredstatewide.TheMajorProjectSkillsGuaranteedidnotapplytotheseprojects.

TheoutcomesexpectedfromtheimplementationoftheLocalJobsFirstpolicytotheseprojectswhereinformationwasprovided,wereasfollows:

` Anaverageof92percentoflocalcontentcommitmentwasmade.

` Atotalof8.69(AEE)positionswerecommitted,includingthecreationof2.77jobsandtheretentionof5.92existingjobs(AEE).

` Nonewapprenticeships,traineeshipsandcadetswerecreated,however3existingapprenticeships,traineeshipswereretained.

PROJECTS COMMENCED – LOCAL JOBS FIRST STR ATEGIC

During2019-20,CSVdidnotcommenceanyLocalJobsFirstStrategicprojects.

PROJECTS COMPLETED – LOCAL JOBS FIRST STR ATEGIC

During2019-20,CSVdidnotcompleteanyLocalJobsFirstStrategicprojects.

REPORTING REQUIREMENTS – ALL PROJECTS

During2019-20,thereweretensmall-to-mediumsizedbusinessesthatpreparedaLocalIndustryDevelopmentPlanforcontractssuccessfullyappointedasPrincipalContractor.

During2019-20,41small-to-mediumsizedbusinesseswereengagedthroughthesupplychainontheseprojects.

REPORTING REQUIREMENTS – GR ANTS

Therewerenograntsduring2019-20whichentailedaconversationwiththeIndustryCapabilityNetwork(Victoria)Ltd.


C OMP L I A NCE W I T H BUIL DING AC T 19 9 3CSVcomplieswiththebuildingandmaintenanceprovisionsoftheBuilding Act 1993,theBuildingRegulations2018andrelevantprovisionsoftheNationalConstructionCode.

CSVappliestheguidancetotheAssetManagementAccountabilityFrameworkinsofarasitrelatestothecompliancewithbuildingregulations,thesafetyandfitnesstooccupyfacilities,andapplicationtonewbuildingandconstructionworks.

SCOPE OF PROPERTIES

CSVmanagesadiverseassetbaseof51ownedfacilitiesthatrangefrommajorpurpose-builtcourtbuildingsconcentratedintheCBDandmetropolitanMelbourne,tosingle-roomcourtfacilitiesdispersedthroughoutregionalVictoria.Insomecases,CSVmanagesandmaintainsfacilitieswherethereisaco-sharedarrangementwiththeDepartmentofJusticeandCommunitySafety.ManyCSVfacilitiesalsoincludecustodysuiteswhicharemanagedbyVictoriaPoliceand/orCorrectionsVictoria.

NE W AND E XISTING BUILDING STANDARDS

During2019-20,CSVconducted121majorworksprojects(valuedover$50,000)incourtlocationsacrossVictoria.Allnewwork,andredevelopmentofexistingproperties,iscarriedouttoconformtocurrentBuildingRegulationsandtheprovisionsoftheBuildingAct.

ThemunicipalBuildingSurveyorortherelevantbuildingsurveyorissueseitheraCertificateofFinalInspectionforupgradesoralterationstoanexistingbuildingforwhichanOccupancyPermithasalreadybeenissuedordeemedtobeissued,oranOccupancyPermitforallnewfacilitiesandchangeofuseand/orclassification.

MAINTENANCE OF CSV OWNED FACILITIES

CSVownedbuildingssatisfythemaintenanceprovisionsofbuildingregulationsthroughmanagementbyinternalresourcesandexternalcontractors.CSVadministerstheissuesonwhichmaintenancestandardsrely,suchascompetenciesofpersonnel,monitoring,reportingandauditingofservicingandmaintenancesystems.TheimplementationoftheCourtsAssetInformationManagementSystemanddevelopmentofafour-yearplanofassetmaintenance,upgradesandrenewalswillenableCSVtodeliverstrongoutcomesinthisareaintothefuture.

CSVreceivesmaintenancestatementsfromcontractorsandensuresevidence-basedassetcomplianceisachievedbyauditingallmaintenancelogbooks,recordsanddatabasesandprovidingtheannualEssentialSafetyMeasuresReportforeachfacility.

In2019-20,anyidentifiedandprioritisednon-complianceswerescheduledtobeundertakenaspartoftheupgradeworksacrossallfacilities.

TheVictorianGovernmentSharedServicesProvidermanagesmaintenanceforleasedfacilities,excludingtheCountyCourtwhichismanagedthroughapublic-privatepartnership.

Occupationalhealthandsafety,functionalityforservicedeliveryandupkeepofplantandequipmentarekeyprioritiesfortheallocationoffundingformaintenance.AlllegislativerequirementsforasbestosinspectionsandmonitoringhavebeenmetandcoordinatedtothesatisfactionoftheVictorianAsbestosEradicationAgency.

LegionellarisksaremanagedbyensuringcompliancewithLegionella-relatedActsandRegulations.

TodatetherearenoemergencyordersorbuildingordersissuedinrelationtoCSVownedfacilities.

AspartoftheauditofGovernmentbuildingsforrisksassociatedwiththepresenceofAluminiumCompositePanelcladdingitwasidentifiedthatcladdingattheMelbourneChildren’sCourtshouldbereplaced.CSViscurrentlyworkingwithCladdingSafetyVictoriatodeliverthiswork,withthecladdingtobereplacedby30June2021

GOV ERNMEN T A DV ER T ISING E X P ENDI T URECSVdidnotconductanyadvertisingcampaigninthefinancialyear2019-20.


C OMP L I A NCE W I T H T HE DATAV IC AC CES S P OL IC YConsistentwiththeDataVicAccessPolicyissuedbytheVictorianGovernmentin2012,theinformationincludedinthisAnnualReportwillbeavailableonourwebsiteinmachine-readableformat.

S TAT EMEN T OF C OMP E T I T I V E NEU T R A L I T Y P OL IC YCompetitiveneutralityrequiresgovernmentbusinessestoensurewhereservicescompete,orpotentiallycompetewiththeprivatesector,anyadvantagearisingsolelyfromtheirgovernmentownershipberemovedifitisnotinthepublicinterest.Governmentbusinessesarerequiredtocostandpricetheseservicesasiftheywereprivatelyowned.Competitiveneutralitypolicysupportsfaircompetitionbetweenpublicandprivatebusinessesandprovidesgovernmentbusinesseswithatooltoenhancedecisionsonresourceallocation.

CSVisworkingtowardsdevelopingadocumentedapproachtocompetitiveneutralityinaccordancewithVictoria’sCompetitiveNeutralityPolicy.

C OMP L I A NCE W I T H T HE P UBL IC IN T ERES T DIS CLO SURES AC TThePublic Interest Disclosures Act 2012(formerlyknownastheProtected Disclosure Act 2012)encouragesandassistspeopleinmakingdisclosuresofimproperconductbypublicofficersandpublicbodies.ThePublicInterestDisclosuresActprovidescertainprotectiontopeoplewhomakedisclosuresinaccordancewiththeActandestablishesasystemforthemattersdisclosedtobeinvestigated,andrectifyingactiontobetaken.

CSVdoesnottolerateimproperconductbyemployees,norreprisalsagainstthosewhocomeforwardtodisclosesuchconduct.CSViscommittedtoensuringtransparencyandaccountabilityinadministrativeandmanagementpracticesandsupportsthemakingofdisclosuresthatrevealimproperconductincludingcorruptconduct,dishonestperformanceofpublicfunctions,substantialmismanagementofpublicresources,orconductinvolvingasubstantialrisktopublichealthandsafety,ortheenvironment.

CSVwilltakeallreasonablestepstoprotectpeoplewhomakesuchdisclosuresfromanydetrimentalactioninreprisalformakingthedisclosure.CSVwillalsoaffordnaturaljusticetothepersonwhoisthesubjectofthedisclosuretotheextentitislegallypossible.

REPORTING PROCEDURES

DisclosureofimproperconductordetrimentalactionbyCSV,oranyofitsemployeesorofficers,maybemadeto:

The Independent Broad-based Anti-Corruption Commission (IBAC) Level1,NorthTower,459CollinsStreet,MelbourneVic3000Telephone:1300735135IBACWebsite

FURTHER INFORMATION

FurtherInformationaboutwhatconstitutesimproperconduct,howtomakeadisclosure,whathappenswhenadisclosureismade,theprotectionsandsupportavailabletodisclosers,andthesupportavailabletoaCSVemployeewhoisbeinginvestigatedcanbefoundintheMakingandHandlingPublicInterestDisclosuresPolicy.TorequestacopyofthePolicy,[email protected].

C OMP L I A NCE W I T H T HE C A RERS REC OGNI T ION AC T 2 0 12CSVhastakenallpracticalmeasurestocomplywithitsobligationsundertheCarers Recognition Act 2012byprovidingallnewemployeeswithinformationabouttheirrightsunderthelegislationandensuringthatexistingemployeeswhohavecarerresponsibilitiesaresupportedtobalanceworkresponsibilitiesandcaringcommitmentsinaccordancewiththeVictorianPublicServiceEnterpriseAgreement2016.

CSValsoconsidersthecarerelationshipprincipleswhensettingpoliciesanddevelopingprograms.AnumberofCSVpeoplemanagementpolicies,resourcesandprogramsreflecttheguidingprinciplesoftheCarersRecognitionAct.Inparticularduring2019-20,severalnewinitiativeswereintroducedinordertosupportemployeeswithcaringresponsibilitiesduringthecoronavirus(COVID-19)pandemic.ThisincludedextendedprovisionsoftheEmployeeAssistanceProgram,additionalleaveprovisions,FrequentlyAskedQuestionsguidance,andtargetedsupportsforworkingparents.


C ONSULTA NC Y E X P ENDI T URE

DETAIL S OF CONSULTANCIES VALUED AT $10,000 OR GRE ATER

In 2019-20, there were 28 consultancies where the total fees payable to the consultants were $10,000 or greater. The total expenditure incurred during 2019-20 in relation to these consultancies is $4.55 million (excluding GST).

Table 10: CONSUlTaNCIeS ValUeD aT $10,000 OR GReaTeR

Consultant Purpose of consultancy

Total approved project fee

$ (excl. GST)expenditure $ (excl. GST)

Future expenditure $ (excl. GST)

4C Management Solutions Pty Ltd

Court Services Victoria Fleet Management Review $24,360.00 $24,360.00 0

Atlin Pty Ltd Organisational Change Support Services $5,676,480.00 $1,574,900.95 $4,101,579.05

Brendan Devine GIPS and SCV Services Integration $72,000.00 $18,000.00 $54,000.00

Clear Horizon Consulting Pty Ltd

Evaluation of Mildura FVIO Breaches Pilot Project $107,759.09 $10,616.00 $97,143.09

Connley Walker Pty Ltd

Court Services Victoria Security Framework, Baseline Security Standards and Physical Security Plans $78,400.00 $78,400.00 0

DB Moore Conflict Management

Advice on Neighbourhood Justice Centre Community Peacemaking Project $22,000.00 $20,000.00 $2,000.00

Deloitte Risk Advisory Pty Limited

Fraud and Corruption Risk Assessment $113,348.00 $45,903.28 $67,444.72

Deloitte Touche Tohmatsu

Future Directions for Courts Family Violence Reform $135,787.30 $135,787.30 0

FBG Group Pty Ltd Coroner Court Supervision Program Development $31,500.00 $15,650.00 $15,850.00

Grosvenor Management Consulting Pty Ltd

Court Services Victoria Governance and Strategic Directions Review $218,191.82 $25,000.00 $193,191.82

Grosvenor Management Consulting Pty Ltd

Developing Court Services Victoria Future Directions and Strategic Plan $120,000.00 $42,500.00 $77,500.00

Hassell Limited Development of Court Services Victoria Victoria-wide Strategic Asset Plan $568,995.37 $568,995.37 0

Jacobs Group Australia Pty Ltd

Comprehensive assessment of Security technology and systems across Victorian Courts and Tribunals $299,411.00 $30,668.00 $216,302.00

Monash University Evaluation of Fast Tracking Initiative $181,108.00 $181,108.00 0

Nous Group Pty Ltd SCV Reimagining Registry Services Review $328,636.36 $60,000.00 $268,636.36

Nous Group Pty Ltd Development of a Positive Workplace Behaviours Framework for the Coroners Court $64,310.00 $64,310.00 0


Consultant Purpose of consultancy

Total approved project fee

$ (excl. GST)expenditure $ (excl. GST)

Future expenditure $ (excl. GST)

Nous Group Pty Ltd Advice of MCV Family Violence Client Experience Strategy $181,818.18 $181,818.18 0

Nous Group Pty Ltd Evaluation of LGBTI Practitioners Trial $121,000.00 $120,557.00 0

Price Waterhouse Coopers

Evaluation of Remote Hearing Trial $88,439.00 $88,439.00 0

Project Squared Pty Ltd

Court Services Victoria Emergency COVID-19 Program Management Services $360,000.00 $360,000.00 0

Project Willoughby Court Services Victoria – AMAF Implementation Support and SAMP Review $39,500.00 $37,916.00 $1,584.00

Protiviti Review of Contract Management Practices $65,800.00 $65,800.00 0

RMIT University Provision of the Human Centred Design Reform Project $636,363.55 $357,954.48 $278,409.07

RMIT University PIP – FVPPU – ICCM Program Design $124,590.00 $124,590.00 0

RPS AAP Consulting Pty Ltd

Project Management Support Services – 223 William Street Recovery Project $45,454.55 $44,160.00 $1,294.55

Swinburne University of Technology

Evaluation of MCV Family Violence Reform

$614,101.82 $122,820.00 $491,281.82

Treehaus Community Based Venues Project – Evaluation Framework Development and Implementation $33,650.00 $18,657.19 $14,992.81

Versa Agency Consultancy work for Stage 2 build of Children’s Court website development project $175,612.80 $127,718.40 $47,894.40

Consultancy above $10,000 N/A $10,528,616.84 $4,546,629.15 $5,929,103.69

DETAIL S OF CONSULTANCIES VALUED UNDER $10,000

In 2019-20, there was one consultancy engaged where the total fee payable to the individual consultancy was less than $10,000. Risk Logic Pty Ltd was engaged to review CSV’s Pandemic Plan at a total cost of $4,310 (excl. GST).


DISCLOSURE OF MA JOR CONTR ACTS

CSV entered into three contracts greater than $10 million in the year ended 30 June 2020.

Table 11: CONTRaCTS GReaTeR THaN $10 MIllION

Company Descriptions Start date end date Contract value $ (excl. GST)

John Wardle Pty Ltd Consultant overseeing Bendigo Law Court Project

8/11/2019 31/12/2023 $10,095,265

Uniting Victoria and Tasmania Ltd

FVR – Court mandated counselling – Men’s Behaviour Program

1/01/2020 30/06/2023 $12,674,581

Family Life Ltd FVR – Court mandated counselling 1/01/2020 30/06/2023 $12,272,276

INFORM AT ION A ND C OMMUNIC AT ION T ECHNOLOGY E X P ENDI T UREFor the 2019-20 reporting period, CSV had a total ICT expenditure of $79 million, with the details shown below.

Table 12: INFORMaTION aND COMMUNICaTION TeCHNOlOGY eXPeNDITURe

all operational ICT expenditure ICT expenditure related to projects to create or enhance ICT capabilities

business-as-usual (baU) ICT expenditure

($ thousand)

Non business-as-usual (non-baU) ICT expenditure

($ thousand)

Operational expenditure ($ thousand)

Capital expenditure ($ thousand)

(Total) (Total = Operational expenditure and capital expenditure)

42,583 36,442 30,005 6,437

Notes:

1. ICTexpenditurereferstoCSV’scostsinprovidingbusiness-enablingICTserviceswithinthecurrentreportingperiod.ItcomprisesBAUICTexpenditureandnon-BAUICTexpenditure.

2. Non-BAUICTexpenditurerelatestoextendingorenhancingCSV’scurrentICTcapabilities.

3. BAUICTexpenditureisallremainingICTexpenditurethatprimarilyrelatestoongoingactivitiestooperateandmaintainthecurrentICTcapability.


FREEDOM OF INFORM AT IONDuring2019-20,CSVreceived53FreedomofInformation(FOI)requests.Oftheserequests,27wererequestsforpersonaldocumentsand26werenon-personalrequests.

CSVmade15FOIdecisionsduringthe12monthsending30June2020.All15decisionsweremadewithinthestatutorytimeperiodasrequiredundersection21oftheFreedom of Information Act 1982 (FOI Act).

Oftheremaining38requests,31werefordocumentsexcludedfromtheFOIprocess,twowereinvalidrequests,onewaswithdrawnbytheapplicantandfourarestillbeingprocessed.

During2019-20,fourrequestsweresubjecttoreviewbytheOfficeoftheVictorianInformationCommissioner(OVIC).OVICaffirmedCSV’sdecisioninthreematters.Onereviewispending.OnecomplaintwasreceivedanddismissedbyOVIC.

TABLE 13: FREEDOM OF INFORMATION OUTCOMES

Freedom of Information Outcomes Number of requests

CourtdocumentsexcludedfromtheFOIActordocumentsthatarepubliclyavailableoravailabletothepublicforafee(sections14(1)(a)and14(1)(b)oftheFOIAct) 31

Invalid requests – total 2

Valid requests (application fee paid or waived) – total 20

` Accessgrantedinfull 0

` Accessgrantedinpart 5

` Accessdenied 3

` Nodocumentexists/nodocumentlocated 1

` Transferredtoanotheragency 0

` Refusedwithoutidentifyingdocuments 6

` Notprocessed 0

` Notproceededwith 0

` Withdrawn 1

` Inprocess 4

Total requests received 53

COURT DOCUMENTS

TheFOIActdoesnotapplytodocumentsheldbycourtsinrespectoftheirjudicialfunctions(section6oftheFOIAct).Eachcourtortribunalhasitsownarrangementsforaccessingsuchdocumentsandapplicantsareencouragedtocontacttherelevantcourtortribunalinthefirstinstanceforthesetypesofdocuments.Contactdetailscanbefoundoneachcourtortribunal’swebsite.

MAKING A REQUEST

AccesstodocumentsavailableunderFOImaybeobtainedbymakingawrittenrequesttoCSVFOI,inaccordancewithsection17oftheFOIAct.RequestsfordocumentsinthepossessionofCSVshouldbemadeinwriting,accompaniedbytheapplicationfeeorrequestforafeewaiver,andbeaddressedto:

Court Services Victoria FreedomofInformationPOBox13193LawCourtsVic8010Emailfoi@courts.vic.gov.au

Requestscanalsobelodgedonlineonatwww.ovic.vic.gov.au

Accesschargesmayalsoapplyoncedocumentshavebeenprocessedandadecisiononaccessismade(e.g.photocopyingorsearchandretrievalcharges).

FurtherinformationregardingFOIcanbefoundatwww.ovic.gov.au.CSV’sPart2InformationStatementcanbefoundonourwebsite.


C OUR T SERV ICES V IC TORI A FIN A NCI A L M A N AGEMEN T C OMP L I A NCE AT T ES TAT ION S TAT EMEN TI,theHonourableChiefJusticeMaryAnneFerguson,onbehalfoftheResponsibleBody,certifythatCourtServicesVictoriahascompliedwiththeapplicableStandingDirectionsoftheMinisterforFinanceundertheFinancial Management Act 1994andInstructions.

The Honourable Chief Justice Mary Anne Ferguson Chair of the Courts Council

8December2020

S TAT EMEN T OF AVA IL A BIL I T Y OF O T HER INFORM AT IONUnderFinancialReportingDirection(FRD)22HStandardDisclosuresintheReportofOperations,CSVisrequiredtoretainthefollowinginformationforthe2019-20financialyearandmakeitavailableuponrequest(subjecttofreedomofinformationrequirements,ifapplicable).

a. Astatementthatdeclarationsofpecuniaryinterestshavebeendulycompletedbyallrelevantofficers.

b. Detailsofsharesheldbyaseniorofficerasnomineeorheldbeneficiallyinastatutoryauthorityorsubsidiary.

c. DetailsofpublicationsproducedbyCSVaboutitself,andhowthesecanbeobtained.

d. Detailsofchangesinprices,fees,charges,ratesandlevieschargedbyCSV.

e. DetailsofanymajorexternalreviewscarriedoutonCSV.

f. DetailsofmajorresearchanddevelopmentactivitiesundertakenbyCSV.

g. Detailsofoverseasvisitsundertakenincludingasummaryoftheobjectivesandoutcomesofeachvisit.

h. Detailsofmajorpromotional,publicrelationsandmarketingactivitiesundertakenbyCSVtodevelopcommunityawarenessofCSVanditsservices

i. Detailsofassessmentsandmeasuresundertakentoimprovetheoccupationalhealthandsafetyofemployees.

j. AgeneralstatementonindustrialrelationswithinCSVanddetailsoftimelostthroughindustrialaccidentsanddisputes.

k. AlistofmajorcommitteessponsoredbyCSV,thepurposesofeachcommitteeandtheextenttowhichthepurposeshavebeenachieved.

l. Detailsofallconsultanciesandcontractorsincluding:

i. consultants/contractorsengaged,

ii. servicesprovided,and

iii. expenditurecommittedtoforeachengagement.

Theinformationisavailableonrequestfrom:CourtServicesVictoriaPOBox13193LawCourtsVic8010Email:[email protected]


DIS CLO SURE INDE XThe CSV Annual Report 2019-20 is prepared in accordance with all relevant Victorian legislation and pronouncements. This index has been prepared to facilitate identification of CSV’s compliance with statutory disclosures requirements.

legislation Requirement Page

Ministerial Directions and Financial Reporting Directions

RePORT OF OPeRaTIONS

Charter and purpose

FRD 22H Manner of establishment and the relevant ministers 8

FRD 22H Purpose, functions, powers and duties 7

FRD 8D Objectives, indicators and outputs 30

FRD 22H Key initiatives and projects 16-29

FRD 22H Nature and range of services provided 16-29

Management and structure

FRD 22H Organisational structure 9

Financial and other information

FRD 8D Performance against output performance measures 31-34

FRD 8D Budget portfolio outcomes 36

FRD 10A Disclosure index 55-56

FRD 12B Disclosure of major contracts 52

FRD 15E Executive Officer disclosures 42-43

FRD 22H Employment and conduct principles 43

FRD 22H Occupational health and safety policy 44-45

FRD 22H Summary of the financial results for the year 35

FRD 22H Significant changes in financial position during the year NA

FRD 22H Major changes or factors affecting performance NA

FRD 22H Subsequent events 124

FRD 22H Application and operation of Freedom of Information Act 1982 (Vic) 53

FRD 22H Compliance with building and maintenance provisions of Building Act 1993 (Vic) 48

FRD 22H Statement on National Competition Policy 49

FRD 22H Application and operation of the Protected Disclosure Act 2012 (Vic) 49

FRD 22H Application and operation of the Carers Recognition Act 2012 (Vic) 49

FRD 22H Details of consultancies over $10,000 50

FRD 22H Details of consultancies under $10,000 51

FRD 22H Disclosure of government advertising expenditure 48

FRD 22H Disclosure of ICT expenditure 52

FRD 22H Statement of availability of other information 54

FRD 25D Local jobs first 47

FRD 29C Workforce data disclosures 40-42

Compliance attestation and declaration

SD 5.143 Attestation for compliance with Ministerial Standing Direction 54

SD 5.2.3 Declaration in report of operations 1


legislation Requirement Page

FINaNCIal STaTeMeNTS

Declaration

SD 5.2.2 Declaration in financial statements 61

Other requirements under Standing Directions 5.2

SD 5.2.1(a) Compliance with Australian accounting standards and other authoritative pronouncements 69

SD 5.2.1(a) Compliance with Ministerial Directions 64-139

SD5.2.1(b) Compliance with Model Financial Report 64-139

Other disclosures as required by FRDs in notes to the financial statements

FRD 9B Departmental disclosure of administered assets and liabilities by activity 84-87

FRD 11A Disclosure of ex-gratia expenses 121

FRD 13 Disclosure of parliamentary appropriations 71

FRD 21C Disclosures of responsible persons, executive officers and other personnel (contractors with significant management responsibilities) in the Financial Report 121-123

FRD 103H Non-financial physical assets 88-97

FRD 110A Cash flow statements 66

FRD 112D Defined benefit superannuation obligations 74

leGISlaTION

Freedom of Information Act 1982 53

Building Act 1993 48

Protected Disclosure Act 2012 49

Carers Recognition Act 2012 49

Local Jobs First Act 2003 47

Financial Management Act 1994 69

Court Services Victoria Act 2014 35

57

SEC T ION 5

FIN A NCI A L S TATEMEN T SFOR T HE FIN A NCI A L Y E A R ENDED 3 0 JUNE 2 0 2 0


C ON T EN T S59 Howthisreportisstructured

61 Declarationinthefinancialstatements

62 IndependentAuditor’sReport

64 Comprehensiveoperatingstatement

65 Balancesheet

66 Cashflowstatement

67 Statementofchangesinequity

68 Note1.Aboutthisreport

70 Note2.Fundingdeliveryofourservices

74 Note3.Thecostofdeliveringservices

79 Note4.Disaggregatedfinancialinformationbyoutput

88 Note5.Keyassetsavailabletosupportoutputdelivery

98 Note6.Otherassetsandliabilities

100 Note7.Financingouroperations

109 Note8.Risks,contingenciesandvaluationjudgements

120 Note9.Otherdisclosures

128 Note10.Correctionofapriorperioderror

130 Note11.Glossaryoftechnicaltermsandstyleconventions

Financial Statements 59

HO W T HIS REP OR T IS S T RUC T UREDCourtServicesVictoria(CSV)haspresenteditsauditedgeneralpurposefinancialstatementsforthefinancialyearended30June2020inthefollowingstructuretoprovideuserswiththeinformationaboutCSV’sstewardshipofresourcesentrustedtoit.

Declarations

Declarationinthefinancialstatements

IndependentAuditor'sReport

Financial Statements

Comprehensiveoperatingstatement

Balancesheet

Cashflowstatement

Statementofchangesinequity

Notes to the financial statements

1. About this report

Thebasisonwhichthefinancialstatementshavebeenpreparedandcompliancewithreportingregulations

2. Funding delivery of our services

2.1Summaryofincomethatfundsthedeliveryofourservices

2.2Appropriations

2.3SummaryofcompliancewithannualParliamentaryandspecialappropriations

2.4Incomefromtransactions

2.5Annotatedincomeagreements

3. The cost of delivering services

3.1Expensesincurredindeliveryofservices

3.2Grantandothertransfers

3.3Capitalassetcharge

3.4Suppliesandservices

4. Disaggregated financial information by output

4.1CSV'soutputs–descriptionsandobjectives

4.2Controlleditems

4.3Administereditems

5. Key assets available to support output delivery

5.1Property,plantandequipment

5.2Intangibleassets

6. Other assets and liabilities

6.1Receivables

6.2Payables

7. Financing our operations

7.1Leaseliabilities(CSVaslessee)

7.2Cashflowinformationandbalances

7.3Trustaccountbalances

7.4Commitmentsforexpenditure


Notes to the financial statements

8. Risks, contingencies and valuation judgements

8.1Financialinstrumentsspecificdisclosures

8.2Contingentassetsandcontingentliabilities

8.3Fairvaluedetermination

9. Other disclosures

9.1Othereconomicflowsincludedinnetresult

9.2Ex-gratiaexpenses

9.3Responsiblepersons

9.4Remunerationofexecutives

9.5KeyManagementPersonnel

9.6Remunerationofauditors

9.7Subsequentevents

9.8Otheraccountingpolicies

9.9Changeinaccountingpolicies

9.10AustralianAccountingStandardsissuedthatarenotyeteffective

10. Correction of a prior period error

10.1Impactofcorrectionofanerroronthecomprehensiveoperatingstatement

10.2Impactofcorrectionofanerroronthebalancesheet

11. Glossary of technical terms and style conventions


DECL A R AT ION IN T HE FIN A NCI A L S TAT EMEN T STheattachedfinancialstatementsforCourtServicesVictoriahavebeenpreparedinaccordancewithDirection5.2oftheStandingDirectionsoftheAssistantTreasurerundertheFinancial Management Act 1994,applicableFinancialReportingDirections,AustralianAccountingStandardsincludinginterpretations,andothermandatoryprofessionalreportingrequirements.

Wefurtherstatethat,inouropinion,theinformationsetoutinthecomprehensiveoperatingstatement,balancesheet,cashflowstatement,statementofchangesinequityandaccompanyingnotes,presentsfairlythefinancialtransactionsduringtheyearended30June2020andfinancialpositionofCourtServicesVictoriaat30June2020.

Atthetimeofsigning,wearenotawareofanycircumstancethatwouldrenderanyparticularsincludedinthefinancialstatementstobemisleadingorinaccurate.

Weauthorisetheattachedfinancialstatementsforissueon8December2020.

The Honourable Chief Justice Mary Anne Ferguson Chair of the Courts Council Court Services Victoria

Melbourne8December2020

Louise Anderson Chief Executive Officer Court Services Victoria


Salvatore Costanzo Chief Finance Officer Court Services Victoria



Independent Auditor’s Report To the Courts Council of the Court Services Victoria

Opinion I have audited the financial report of the Court Services Victoria (the Authority) which comprises the:

• balance sheet as at 30 June 2020 • comprehensive operating statement for the year then ended • statement of changes in equity for the year then ended • cash flow statement for the year then ended • notes to the financial statements, including significant accounting policies • declaration in the financial statements.

In my opinion the financial report presents fairly, in all material respects, the financial position of the Authority as at 30 June 2020 and its financial performance and cash flows for the year then ended in accordance with the financial reporting requirements of Part 7 of the Financial Management Act 1994 and applicable Australian Accounting Standards.

Basis for opinion

I have conducted my audit in accordance with the Audit Act 1994 which incorporates the Australian Auditing Standards. I further describe my responsibilities under that Act and those standards in the Auditor’s Responsibilities for the Audit of the Financial Report section of my report.

My independence is established by the Constitution Act 1975. My staff and I are independent of the Authority in accordance with the ethical requirements of the Accounting Professional and Ethical Standards Board’s APES 110 Code of Ethics for Professional Accountants (the Code) that are relevant to my audit of the financial report in Victoria. My staff and I have also fulfilled our other ethical responsibilities in accordance with the Code.

I believe that the audit evidence I have obtained is sufficient and appropriate to provide a basis for my opinion.

The Courts Council’s responsibilities for the financial report

The Courts Council is responsible for the preparation and fair presentation of the Authority's financial report in accordance with Australian Accounting Standards and the Financial Management Act 1994, and for such internal control as the Courts Council determines is necessary to enable the preparation and fair presentation of a financial report that is free from material misstatement, whether due to fraud or error.

In preparing the financial report, the Courts Council is responsible for assessing the Authority’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless it is inappropriate to do so.

INDEP ENDEN T AUDI TOR ’S REP OR T


2

Auditor’s responsibilities for the audit of the financial report

As required by the Audit Act 1994, my responsibility is to express an opinion on the financial report based on the audit. My objectives for the audit are to obtain reasonable assurance about whether the financial report as a whole is free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes my opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with the Australian Auditing Standards will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of this financial report.

As part of an audit in accordance with the Australian Auditing Standards, I exercise professional judgement and maintain professional scepticism throughout the audit. I also:

• identify and assess the risks of material misstatement of the financial report, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for my opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.

• obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Authority’s internal control.

• evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the Courts Council.

• conclude on the appropriateness of the Courts Council’s use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Authority’s ability to continue as a going concern. If I conclude that a material uncertainty exists, I am required to draw attention in my auditor’s report to the related disclosures in the financial report or, if such disclosures are inadequate, to modify my opinion. My conclusions are based on the audit evidence obtained up to the date of my auditor’s report. However, future events or conditions may cause the Authority to cease to continue as a going concern.

• evaluate the overall presentation, structure and content of the financial report, including the disclosures, and whether the financial report represents the underlying transactions and events in a manner that achieves fair presentation.

I communicate with the Courts Council regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that I identify during my audit.

MELBOURNE 10 December 2020

Janaka Kumara as delegate for the Auditor-General of Victoria


C OMP REHENSI V E OP ER AT ING S TAT EMEN T FOR T HE FIN A NCI A L Y E A R ENDED 3 0 JUNE 2 0 2 0

Note2020

$'0002019

$'000 (i)

CONTINUING OPERATIONS

Income from transactions

Outputappropriations 2.1 480,167 428,469

Specialappropriations 2.1 167,736 157,954

Grants 2.4 25,617 28,164

Total income from transactions 673,520 614,588

EXPENSES FROM TRANSACTIONS

EmployeeexpensesandJudicialOfficerremuneration 3.1.1 374,614 341,714

Depreciationandamortisation 5.1.1 72,923 62,109

Interestexpense 7.1.2 4,807 4,983

Grantsandothertransfers 3.2 15,108 13,968

Capitalassetcharge 3.3 46,362 45,499

Suppliesandservices 3.4 155,189 144,086

Total expenses from transactions 669,003 612,360

Net result from transactions (net operating balance) 4,517 2,228

OTHER ECONOMIC FLOWS INCLUDED IN NET RESULT

Netgain/(loss)onnon-financialassets 9.1 346 468

Netgain/(loss)onfinancialinstruments 9.1 190 381

Othergains/(losses)fromothereconomicflows 9.1 (1,916) (7,663)

Total other economic flows included in net result (1,379) (6,814)

Net result 3,138 (4,586)

OTHER ECONOMIC FLOWS – OTHER COMPREHENSIVE INCOME

Items that will not be reclassified to net result

Changesinphysicalassetrevaluationsurplus 5.1.3/8.3.2 44,337 53,844

Total other economic flows – other comprehensive income 44,337 53,844

Comprehensive result 47,475 49,258

(i) 2019 amounts have been restated as a result of a correction of an error (see Note 10)

The accompanying notes form part of these financial statements.


B A L A NCE SHEE T A S AT 3 0 JUNE 2 0 2 0

Note2020

$’000

Restated 2019

$’000 (i)

Restated 1 July 2018

$'000 (i)

FINANCIAL ASSETS

Cashanddeposits 8.1.1 19,888 17,899 13,151

Receivables 6.1 134,706 99,925 97,199

Total financial assets 154,594 117,824 110,350

NON-FINANCIAL ASSETS

Non-financialphysicalassetsclassifiedasheldforsale 178 200 181

Property,plantandequipment 5.1 1,134,163 979,698 926,408

Intangibleassets 5.2 31,622 24,393 17,591

Prepayments 7,892 5,887 2,370

Total non-financial assets 1,173,855 1,010,178 946,550

Total assets 1,328,449 1,128,001 1,056,900

LIABILITIES

Payables 6.2 61,996 50,468 44,229

Borrowings 7.1 119,299 54,917 67,242

Provisions 3.1.2 105,123 93,903 79,569

OtherProvisions 164 342 318

Total liabilities 286,581 199,630 191,358

Net assets 1,041,868 928,371 865,543

EQUITY

Accumulatedsurplus/(deficit) (30,117) (33,255) (28,669)

Contributedcapital 827,120 761,099 747,530

Physicalassetrevaluationsurplus 244,864 200,527 146,682

Net worth 1,041,868 928,371 865,543

(i) 2018 and 2019 amounts have been restated as a result of a correction of an error (see Note 10)



C A SH FLO W S TAT EMEN T FOR T HE FIN A NCI A L Y E A R ENDED 3 0 JUNE 2 0 2 0

Note2020

$'0002019

$'000

CASH FLOWS FROM OPERATING ACTIVITIES

Receipts

ReceiptsfromGovernment 602,737 590,385

Receiptsfromotherentities 30,209 20,492

GoodsandservicestaxrecoveredfromtheAustralianTaxationOffice 27,040 19,835

Total receipts 659,986 630,712

PAYMENTS

Paymentstosuppliers,employeesandJudicialOfficers (547,266) (498,346)

Paymentsofgrantsandothertransfers (7,602) (7,321)

Capitalassetschargepayments (46,362) (45,499)

Interestandothercostsoffinancepaid (4,807) (4,983)

Total payments (606,037) (556,150)

Net cash flows from/(used in) operating activities 7.2.1 53,948 74,563

CASH FLOWS FROM INVESTING ACTIVITIES

Purchasesofnon-financialassets (95,205) (73,964)

Proceedsfromsalesofnon-financialassets 2,569 2,904

Net cash flows from/(used in) investing activities (92,636) (71,060)

CASH FLOWS FROM FINANCING ACTIVITIES

OwnercontributionsbyStateGovernment 66,021 13,569

Repaymentofborrowingsandprincipalportionofleaseliabilities(2019:financeleases) (25,344) (12,324)

Net cash provided by/(used in) financing activities 40,677 1,245

Net increase (decrease) in cash held 1,989 4,747

Cashandcashequivalentsatthebeginningofthefinancialyear 17,899 13,151

Cash and cash equivalents at the end of the financial year 8.1.1 19,888 17,899



S TAT EMEN T OF CH A NGES IN EQUI T Y FOR T HE FIN A NCI A L Y E A R ENDED 3 0 JUNE 2 0 2 0

2020

Note

Physical asset

revaluation surplus

$’000

Accumulated surplus/ (deficit)

$’000

Contributed capital

$’000Total

$’000

Balance as at 1 July 2019 200,527 (33,255) 761,099 928,372

Netresultfortheyear 3,138 3,138

Othercomprehensiveincome 5.1.3 44,337 44,337

TransactionswiththeStateinitscapacityasowners(i) 66,021 66,021

Balance at 30 June 2020 244,864 (30,117) 827,120 1,041,868

2019

Note

Physical asset

revaluation surplus

$’000


$’000

Contributed capital

$’000Total

$’000

Balance as at 1 July 2018 (i) 250,137 7,717 747,530 1,005,384

Priorperiodadjustment 10 (103,455) (36,386) (139,841)

Restated Balance as at 1 July 2018 (i) 146,682 (28,669) 747,530 865,543

Netresultfortheyear (4,586) (4,586)

Othercomprehensiveincome 5.1.3 53,844 53,844

TransactionswiththeStateinitscapacityasowners 13,569 13,569

Balance at 30 June 2019 200,527 (33,255) 761,099 928,371

Note:

(i) Transfers with the State in its capacity as owner relates to asset additions funded from output initiatives and special appropriations.

2019 amounts have been restated as a result of a correction of an error (see Note 10)



NO T E 1. A B OU T T HIS REP OR TCourtServicesVictoria(CSV)wasestablishedon1July2014undertheCourt Services Victoria Act 2014asanindependentstatutorybodytoprovideadministrativeservicesandfacilitiestosupporttheVictoriancourtsandtribunals,theJudicialCollegeofVictoriaandtheJudicialCommissionofVictoria.CSVsupportstheperformanceofthejudicial,quasi-judicialandadministrativefunctionsoftheSupremeCourtofVictoria,theCountyCourtofVictoria,theMagistrates’CourtofVictoria,theChildren’sCourtofVictoria,theCoronersCourtofVictoriaandtheVictorianCivilandAdministrativeTribunal(VCAT).

CSV’sstatusasastatutorybodyallowsthecourtstooperateindependentlyofthedirectionoftheexecutivebranchofgovernment,thussupportingtheindependenceofthejudiciary.

CSV’sactivitiesincludeoverseeingcourtfacilitiesandprovidingthepeople,informationtechnologyandfinancialmanagementtodeliverenhancedadministrativeservicestotheVictoriancourts,VCAT,JudicialCollegeofVictoria,andtheJudicialCommissionofVictoria.Someoralloftheseactivitiesareprovidedthroughanadministrationfunctionknownas“JurisdictionServices”.

TheCourtsCouncilisCSV’sgoverningbodyandcomprisestheheadofeachcourtjurisdictionandVCATanduptotwoindependentmembers.TherearesevencommitteesthatinformtheworkoftheCourtsCouncil.

CSV’sprincipaladdressis:223 William Street Melbourne, Vic 3000.

BA SIS OF PREPAR ATION

ThesefinancialstatementsareinAustraliandollarsandthehistoricalcostconventionisusedunlessadifferentmeasurementbasisisspecificallydisclosedinthenoteassociatedwiththeitemmeasuredonadifferentbasis.

Theaccrualbasisofaccountinghasbeenappliedinthepreparationofthesefinancialstatementswherebyassets,liabilities,equity,incomeandexpensesarerecognisedinthereportingperiodtowhichtheyrelate,regardlessofwhencashisreceivedorpaid.

ConsistentwiththerequirementsofAustralianAccountingStandardAASB1004Contributions,contributionsbyowners(thatiscontributedcapitalanditsrepayment)aretreatedasequitytransactionsand,therefore,donotformpartoftheincomeandexpensesofCSV.

Additionstonetassetsthathavebeendesignatedascontributionsbyownersarerecognisedascontributedcapital.Othertransfersthatareinthenatureofcontributionstoordistributionsbyownershavealsobeendesignatedascontributionsbyowner.

Transfersofnetassetsarisingfromadministrativerestructuringsaretreatedasdistributionstoorcontributionsbyowners.Transfersofnetliabilitiesarisingfromadministrativerestructuringsaretreatedasdistributionstoowners.


Judgments,estimatesandassumptionsarerequiredtobemadeaboutfinancialinformationbeingpresented.Significantjudgmentsmadeinthepreparationofthesefinancialstatementsaredisclosedinthenoteswhereamountsaffectedbythosejudgmentsaredisclosed.Estimatesandassociatedassumptionsarebasedonprofessionaljudgmentderivedfromhistoricalexperienceandvariousotherfactorsthatarebelievedtobereasonableunderthecircumstances.Actualresultsmaydifferfromtheseestimates.

Revisionstoaccountingestimatesarerecognisedintheperiodinwhichtheestimateisrevisedandalsoinfutureperiodsthatareaffectedbytherevision.JudgmentsandassumptionsmadebymanagementinapplyingAustralianAccountingStandards(AAS)thathavesignificanteffectsonthefinancialstatementsandestimatesaredisclosedinthenotesundertheheading‘Changeinaccountingpolicies’

ThesefinancialstatementscoverCSVasanindividualreportingentityandincludeallthecontrolledactivitiesofCSV.

Allamountsinthefinancialstatementshavebeenroundedtothenearest$1,000unlessotherwisestated.

COMPLIANCE INFORM ATION

ThesegeneralpurposefinancialstatementshavebeenpreparedinaccordancewiththeFinancial Management Act 1994 (FMA)andapplicableAustralianAccountingStandards(AASs),whichincludeInterpretationsissuedbytheAustralianAccountingStandardsBoard(AASB).Inparticular,theyarepresentedinamannerconsistentwiththerequirementsofAASB1049Whole of Government and General Government Sector Financial Reporting.

Whereappropriate,thoseAASsparagraphsapplicabletonot-for-profitentitieshavebeenapplied.Accountingpoliciesselectedandappliedinthesefinancialstatementsensurethattheresultingfinancialinformationsatisfiestheconceptsofrelevanceandreliability,therebyensuringthatthesubstanceoftheunderlyingtransactionsorothereventsisreported.

CSVhasconsideredtheimpactofCOVID-19onitsfinancialstatements.Therewerenomaterialfinancialimpactsinthefollowingassessedareas:

` Assetimpairment/changesinassumptionsforimpairmenttesting(Note8.3.2)

` ChangesinFairvalueofAssets.(Note8.3.2)

` Increasedcostsand/orreduceddemandrequiringprovisionsforonerouscontracts(nileffect)

` Changesinexpectedcreditlossesforloansandotherfinancialassets(Note8.1.3)

` Feerevenue(Note4.3)

` Leases(Note8.3.2)


NO T E 2 . FUNDING DEL I V ERY OF OUR SERV ICES

INTRODUCTION

CSV’soverallobjectiveisthefair,timelyandefficientdispensingofjustice.

ToenableCSVtofulfilitsobjectiveandprovideoutputsasdescribedinNote4,itreceivesincomewhichispredominantlyaccrualbasedParliamentaryappropriations.

STRUCTURE

2.1 Summaryofincomethatfundsthedeliveryofourservices

2.2 Appropriations

2.3 SummaryofcompliancewithannualParliamentaryandspecialappropriations

2.4 Incomefromtransactions

2.5 Annotatedincomeagreements

NOTE 2.1 SUMMARY OF INCOME THAT FUNDS THE DELIVERY OF OUR SERVICES

Notes2020

$’0002019

$’000

Outputappropriations 2.2 480,167 428,469

Specialappropriations 2.2 167,736 157,954

Grants 2.4.1 25,617 28,164

Total income from transactions 673,520 614,588

RevenueandincomethatfunddeliveryofCSV’sservicesareaccountedforconsistentlywithalltherequirementsoftherelevantaccountingstandardsdisclosedinthefollowingnotes.AllamountsofincomeoverwhichCSVdoesnothavecontrolaredisclosedasadministeredincome(seenote4.3).

NOTE 2.2 APPROPRIATIONS

OnceannualParliamentaryappropriationsareappliedbytheTreasurer,theybecomecontrolledbyCSVandarerecognisedasincomewhenappliedtothepurposesdefinedundertherelevantAppropriationsAct.AfterconsideringtherequirementsofthenewaccountingstandardsandtherelevantFRDs,CSVhasconcludedthatparliamentaryappropriationsfallwithinthescopeofAASB1058(seeNote9.9.3).

OUTPUT APPROPRIATIONS

IncomereceivedtodelivertheoutputsCSVprovidestotheGovernmentisrecognisedwhenthoseoutputshavebeendeliveredandtherelevantministerhascertifieddeliveryofthoseoutputsinaccordancewithspecifiedperformancecriteria.

SPECIAL APPROPRIATIONS

Incomefromspecialappropriationsisrecognisedonacashbasis,withtheexceptionoflongserviceleaveandannualleavewhichincludesincomeforunpaidleaveonanaccrualbasis.


NOTE 2.3 SUMMARY OF COMPLIANCE WITH ANNUAL PARLIAMENTARY AND SPECIAL APPROPRIATIONS

ThefollowingtabledisclosesthedetailsofthevariousannualParliamentaryappropriationsreceivedbyCSVfortheyear.

Inaccordancewithaccrualoutput-basedmanagementprocedures,‘provisionofoutputs’and‘additionstonetassets’aredisclosedas‘controlled’activitiesofCSV.AdministeredtransactionsarethosethatareundertakenonbehalfoftheStateoverwhichCSVhasnocontrolordiscretion.

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ThefollowingtabledisclosesthedetailsofthecompliancewithspecialappropriationsreceivedbyCSVfortheyear.

SUMMARY OF COMPLIANCE WITH SPECIAL APPROPRIATIONS

Authority Purpose: operating costs2020

$'0002019

$'000

1 ConstitutionAct1975(No.8750/1975),s.82(7)

RemunerationofJudgesoftheSupremeCourtofVictoriaandtheChiefJustice 27,577 26,608


RemunerationofthePresidentandJudgesoftheCourtofAppealDivisionoftheSupremeCourtofVictoria 8,554 7,971

3 CountyCourtAct1958(No.6230/1958)s.10(7)

RemunerationofJudgesoftheCountyCourtofVictoria 37,233 37,169

4 VictimsofCrimeAssistanceAct1996(No.81/1996),s.69

OperatingcostsoftheVictimsofCrimeAssistanceTribunal 3,554 3,384

5 Magistrates’CourtAct1989(No.51/1989),sch.1Pt1cl.10

RemunerationofMagistratesoftheMagistrates’CourtofVictoria 69,315 63,332

6 VictorianCivilandAdministrativeTribunalAct53of1998section17AA

RemunerationofMembersoftheVictorianCivilandAdministrativeTribunal 21,476 19,444

7 JuriesAct2000(No.53/2000),s.59 CompensationtojurorsfromtheWorkCoverAuthorityFundundertheAccidentCompensationAct1985 16 2

8 ConstitutionActNo.8750–Section87AAT(5)

JudicialCommissionInvestigationPanel10 46

167,736 157,954

Authority Purpose: capital component2020

$'0002019

$'000


RemunerationofJudgesoftheSupremeCourtofVictoria. 341 335


RemunerationofJudgesoftheCourtofAppealsSupremeCourtofVictoria 111 104

11 CountyCourtAct1958(No.6230/1958)s.10(7)

RemunerationofJudgesoftheCountyCourtofVictoria 531 569

12 Magistrates’CourtAct1989(No.51/1989),sch.1Pt1cl.10

RemunerationofMagistratesoftheMagistrates’CourtofVictoria 716 855

13 VictorianCivilandAdministrativeTribunalAct53of1998section17AA

RemunerationofMembersoftheVictorianCivilandAdministrativeTribunal 167 184

1,866 2,048

AdministeredSpecialAppropriationsApplied:VictimsofCrimeAssistanceAct1996(No81/1996),s.69

CostsincurredbytheVictimsofCrimeAssistanceTribunalandpaymentstovictimsofcrime 45,146 46,008

45,146 46,008


NOTE 2.4 INCOME FROM TR ANSACTIONS

2.4.1 GRANTS

2020 $'000

2019 $'000

Generalgovernment 25,238 27,693

Otherspecificpurpose 379 471

Total grants 25,617 28,164

CSVhasdeterminedthatallGrantRevenueisrecognisedasincomeinaccordancewithAASB1058asallGrantsreceivedarenotenforceableanddoesnothavesufficientlyspecificperformanceobligationstobeaccountedforascontractswithcustomersinaccordancewithAASB15.

Previous accounting policy for 30 June 2019

Grantincomearisesfromtransactionsinwhichapartyprovidesgoodsorassets(orextinguishesaliability)toCSVwithoutreceivingapproximatelyequalvalueinreturn.Whilegrantsmayresultintheprovisionofsomegoodsorservicestothetransferringparty,theydonotprovideaclaimtoreceivebenefitsdirectlyofapproximatelyequalvalue(andaretermed‘non-reciprocal’transfers).Receiptandsacrificeofapproximatelyequalvaluemayoccur,butonlybycoincidence.Fornon-reciprocalgrants,CSVrecognisesrevenuewhenthegrantisreceivableorreceived.

Grantscanbereceivedasgeneralpurposegrants,thatreferstograntswhicharenotsubjecttoconditionsregardingtheiruse.Alternatively,theymaybereceivedasspecificpurposegrants,whicharepaidforaparticularpurposeand/orhaveconditionsattachedregardingtheiruse.

Somegrantsarereciprocalinnature(i.e.equalvalueisgivenbackbytherecipientofthegranttotheprovider).CSVrecognisestheincomewhenithassatisfieditsperformanceobligationsunderthetermsofthegrant.

NOTE 2.5 ANNOTATED INCOME AGREEMENTS

CSVispermittedundersection29oftheFMAtohavecertainincomeannotatedtotheannualappropriation.Theincomewhichformspartofsection29agreementisrecognisedbyCSVasanadministereditemandthereceiptspaidintotheconsolidatedfund.Atthepointofincomerecognition,section29providesforanequivalentamounttobeaddedtotheannualappropriation.

TheTreasurerhasapprovedtheCourtFees,VictorianWorkCoverAuthority,andRetailSaleofCourtsDataannotatedincomeagreementof$73.0million(2019:$76.0million).

TheannotatedincomeformspartoftheannualappropriationreceivedfromtheVictorianGovernmentasdisclosedinNote2.3.


NO T E 3. T HE C O S T OF DEL I V ERING SERV ICES

INTRODUCTION

ThissectionprovidesanaccountoftheexpensesincurredbyCSVindeliveringtheservicesandoutputsitreceivedincomefor,asoutlinedinsection2.

STRUCTURE

3.1 Expensesincurredindeliveryofservices

3.2 Grantandothertransfers

3.3 Capitalassetcharge

3.4 Suppliesandservices

NOTE 3.1 E XPENSES INCURRED IN DELIVERY OF SERVICES

Notes2020

$'0002019

$'000

EmployeebenefitandJudicialOfficerremunerationexpenses 3.1.1 374,614 341,714

Grantsandothertransfers–JudicialCollegeandJudicialCommission 3.2 7,855 6,967

Othergrantsandothertransfers 3.2 7,253 7,002

Capitalassetcharge 3.3 46,362 45,499

Suppliesandservices 3.4 155,189 144,086

Total expenses incurred in delivery of services 591,273 545,268

3.1.1 EMPLOYEE BENEFIT AND JUDICIAL OFFICER REMUNERATION EXPENSES IN THE COMPREHENSIVE OPERATING STATEMENT

Notes2020

$'0002019

$'000

Definedcontributionsuperannuationexpense 3.1.3 22,865 20,535

Definedbenefitsuperannuationexpense 3.1.3 1,636 1,751

Terminationbenefits 433 440

Salariesandwages 294,198 265,086

Leaveexpenses(annualleaveandlongserviceleave) 32,192 31,731

Otheron-costs(fringebenefitstax,payrolltax,trainingandWorkCoverlevy) 23,290 22,171

Total employee expenses and Judicial Officer remuneration 374,614 341,714

EmployeeexpensesandJudicialOfficerremunerationencompassesallcostsrelatedtoemployment,includingwagesandsalaries,fringebenefitstax,leaveentitlements,terminationpaymentsandWorkCoverpremiums.

Theamountrecognisedinthecomprehensiveoperatingstatementinrelationtosuperannuationisemployercontributionsformembersofbothdefinedbenefitanddefinedcontributionsuperannuationplansthatarepaidorpayableduringthereportingperiod.CSVdoesnotrecogniseanydefinedbenefitliabilitiesbecauseithasnolegalorconstructiveobligationtopayfuturebenefitsrelatingtoitsemployees.Instead,theDepartmentofTreasuryandFinance(DTF)disclosesinitsannualfinancialstatementsthenetdefinedbenefitcostrelatedtothemembersoftheseplansasan

administeredliability(onbehalfoftheStateasthesponsoringemployer).

Terminationbenefitsarepayablewhenemploymentisterminatedbeforenormalretirementdate,orwhenanemployeeorJudicialOfficeracceptsanofferofbenefitsinexchangefortheterminationofemployment.TerminationbenefitsarerecognisedwhenCSVisdemonstrablycommittedtoterminatingtheemploymentofcurrentemployeesaccordingtoformalplanswithoutpossibilityofwithdrawal,orprovidingterminationbenefitsasaresultofanoffermadetoencouragevoluntaryredundancy.TerminationbenefitsofjudicialofficersarerecognisedwhentheemploymentofaJudicialOfficeristerminated.Benefitsduemorethan12monthsaftertheendofthereportingperiodarediscountedtopresentvalue.


3.1.2 EMPLOYEE BENEFITS AND JUDICIAL OFFICER REMUNERATION IN THE BALANCE SHEET

ProvisionismadeforbenefitsaccruingtoemployeesandJudicialOfficersinrespectofwagesandsalaries,annualleaveandlongserviceleaveforservicesrenderedtothereportingdateandrecordedasanexpenseduringtheperiodtheservicesaredelivered.

2020 $'000

2019 $'000

Current provisions

Annual leave

Unconditionalandexpectedtosettlewithin12months 15,189 12,415

Unconditionalandexpectedtosettleafter12months 3,940 2,234

Long service leave



Provisions for on-costs



Total current provisions for employee benefits and Judicial Officer remuneration 92,666 82,934

Non-current provisions

EmployeebenefitsandJudicialOfficerremuneration 11,142 9,786

On-costs 1,315 1,183

Total non-current provisions for employee benefits and Judicial Officer remuneration 12,456 10,968

Total provisions for employee benefits and Judicial Officer remuneration 105,123 93,903

RECONCILIATION OF MOVEMENT IN ON-COST PROVISION

2020 $'000

2019 $'000

Opening balance 12,177 10,493

Additionalprovisionsrecognised 4,935 5,484

Reductionsarisingfrompayments/othersacrificesoffutureeconomicbenefits (3,376) (3,800)

Closing balance 13,736 12,177

Current 12,421 10,994

Non-current 1,315 1,183

Total 13,736 12,177


Wages and salaries, annual leave and sick leave: liabilitiesforwagesandsalaries(includingnon-monetarybenefits,annualleaveandon-costs)arerecognisedaspartoftheemployeebenefitandJudicialOfficerremunerationprovisionascurrentliabilities,becauseCSVdoesnothaveanunconditionalrighttodefersettlementsoftheseliabilities.

Theliabilityforsalariesandwagesarerecognisedinthebalancesheetatremunerationratesthatarecurrentatthereportingdate.AsCSVexpectstheliabilitiestobewhollysettledwithin12monthsofreportingdate,theyaremeasuredatundiscountedamounts.

Theannualleaveliabilityisclassifiedasacurrentliabilityandmeasuredattheundiscountedamountexpectedtobepaid,asCSVdoesnothaveanunconditionalrighttodefersettlementoftheliabilityforatleast12monthsaftertheendofthereportingperiod.

Noprovisionhasbeenmadeforsickleaveasallsickleaveisnon-vestinganditisnotconsideredprobablethattheaveragesickleavetakeninthefuturewillbegreaterthanthebenefitsaccruedinthefuture.Assickleaveisnon-vesting,anexpenseisrecognisedintheComprehensiveOperatingStatementasitistaken.

Employmenton-costssuchaspayrolltax,workerscompensationandsuperannuationarenotemployeebenefitsandJudicialOfficerremuneration.TheyaredisclosedseparatelyasacomponentoftheprovisionforemployeebenefitsandJudicialOfficerremunerationwhentheemploymenttowhichtheyrelatehasoccurred.

Unconditional long service leaveisdisclosedasacurrentliabilityevenwhereCSVdoesnotexpecttosettletheliabilitywithin12months,asitwillnot

havetheunconditionalrighttodeferthesettlementoftheentitlementshouldanemployeeandJudicialOfficertakeleavewithin12months.

Thecomponentsofthecurrentlongserviceleaveliabilityaremeasuredat:

` undiscountedvalue–ifCSVexpectstowhollysettlewithin12months;or

` presentvalue–ifCSVdoesnotexpecttowhollysettlewithin12months.

Conditional long service leaveisdisclosedasanon-currentliability.Thereisanunconditionalrighttodeferthesettlementoftheentitlementuntiltheemployeehascompletedtherequisiteyearsofservice.Thisnon-currentlongserviceleaveliabilityismeasuredatpresentvalue.

Anygainorlossfollowingrevaluationofthepresentvalueofnon-currentlongserviceleaveliabilityisrecognisedasatransaction,excepttotheextentthatagainorlossarisesduetochangesinbondinterestratesforwhichitisthenrecognisedasan‘othereconomicflow’inthenetresult.

3.1.3 SUPERANNUATION CONTRIBUTIONS

EmployeesandjudicialofficersofCSVareentitledtoreceivesuperannuationbenefitsandCSVcontributestobothdefinedbenefitanddefinedcontributionplans.Thedefinedbenefitplansprovidebenefitsbasedonyearsofserviceandfinalaveragesalary.JudicialOfficerpensionschemesarenon-contributory.

Asnotedpreviously,thedefinedbenefitliabilityisrecognisedbyDTFasanadministeredliability.However,superannuationcontributionspaidorpayableforthereportingperiodareincludedaspartofemployeebenefitsandJudicialOfficersinthecomprehensiveoperatingstatementofCSV.

Paid contribution for the year

Contribution outstanding at year end

2020 $'000

2019 $'000

2020 $'000

2019 $'000

Defined benefit plans:

EmergencyServicesandStateSuper–revisedandnew 1,592 1,715 44 36

Defined contribution plans:

VicSuper 13,297 12,670 381 292

Variousother 8,921 7,395 267 179

Total 23,809 21,779 692 507

Note:

1. The basis for determining the level of contributions is determined by the various actuaries of the defined benefit superannuation plans.


3.2 GR ANTS AND OTHER TR ANSFERS

GrantexpensesrepresentcontributionsofCSVresourcestoanotherpartyforspecificorgeneralpurposeswherethereisnoexpectationthattheamountwillberepaidinequalvalue(eitherbymoney,goodsorservices).

Grantscaneitherbeoperatingorcapitalinnature.Grantscanbepaidasgeneralpurposegrants,whichrefertograntsthatarenotsubjecttoconditionsregardingtheiruse.Alternatively,theymaybepaidasspecificpurposegrants,whicharepaidforaparticularpurposeand/orhaveconditionsattachedregardingtheiruse.

Grantexpensesarerecognisedinthereportingperiodinwhichtheyarepaidorpayable.Grantscantaketheformofmoney,assets,goods,servicesorforgivenessofliabilities.

GrantsandothertransfersincludepaymentstotheJudicialCollegeVictoria$4.8m(2019:$4.7m),andJudicialCommissionVictoria$3.1m(2019:$2.3m).

3.3 CAPITAL A SSET CHARGE

Acapitalassetchargeisachargeleviedonthewrittendownvalueofcontrollednon-currentphysicalassetsinCSV’sbalancesheet.ItaimstoattributetoCSV’soutputs,acostofcapitalusedinservicedelivery.ImposingthischargeprovidesincentivesforCSVtoidentifyanddisposeofunderutilisedorsurplusnon-currentphysicalassets.


3.4 SUPPLIES AND SERVICES

2020 $'000

2019 $'000

Accommodationandpropertyservices 30,940 26,939

Leaserentalexpenses–lowvalue/short-termleases 825 12,340

Outsourcedcontracts 24,438 22,301

Contractors,professionalservicesandconsultants 37,764 28,150

Printing,stationeryandotherofficeexpenses 12,040 12,882

Technologyservices 23,295 16,971

Jurorpayments 2,790 3,610

Repairsandmaintenance 7,980 4,977

Deceasedremovalsandtransfercosts(CoronersCourt) 5,015 4,260

Interpreterandtranslationservices 3,366 3,448

Ex-gratiaexpenses 6 0

Other 6,730 8,209

Total supplies and services 155,189 144,086

Suppliesandservicesexpensesgenerallyrepresentday-to-dayrunningcostsincurredinnormaloperations.

Suppliesandservicesarerecognisedasanexpenseinthereportingperiodinwhichtheyareincurred.

LE A SE RENTAL E XPENSE S

` UntilJune302019arerecognisedonastraight-linebasisovertheleaseterm,exceptwhereanothersystematicbasisismorerepresentativeofthetimepatternofthebenefitsderivedfromtheuseoftheleasedasset.

` From1July2019arerecognisedonastraight-linebasisonlywhen:

» theyareShort-termleases(leasetermislessthan12months);and

» theyareLow-valueleases(leaseswheretheunderlyingasset’sfairvalue,whennew,regardlessoftheageoftheassetbeingleasedisnomorethan$10,000).

Variableleasepaymentsthatarenotincludedinthemeasurementoftheleaseliability(i.e.variableleasepaymentsthatdonotdependonanindex,orarateandwhicharenot,insubstancefixed)suchasthosebasedonperformanceorusageoftheunderlyingasset,arerecognisedintheComprehensiveOperatingStatement(exceptforpaymentswhichhasbeenincludedinthecarryingamountofanotherasset)intheperiodinwhichtheeventorconditionthattriggersthosepaymentsoccur.

Notes:

1. CSV had short-term leases at Mildura and Heidelberg ($0.1 Million)

2. CSV has low-value leases on numerous Multi-Function Devices ($0.70 Million)


NO T E 4. DIS AGGREGAT ED FIN A NCI A L INFORM AT ION BY OU T P U T

INTRODUCTION

CSVispredominantlyfundedbyaccrualbasedParliamentaryappropriationsfortheprovisionofoutputs.ThissectionprovidesadescriptionofCSVoutputsdeliveredduringtheperiodending30June2020alongwiththeobjectivesofthoseoutputs.

STRUCTURE

4.1 CSVoutputs–descriptionsandobjectives

4.2 Controlleditems

4.3 Administereditems

4.1 CSV OUTPUTS–DESCRIPTIONS AND OBJECTIVES

CSVprovidesadministrativeservicesandfacilitiestosupporttheVictorianCourtsandStatutoryTribunalsinthedispensationofcriminalandcivilmatters.

CSVoutputsreflectservicesandfacilitiesprovidedto:SupremeCourtofVictoria,CountyCourtofVictoria,Magistrates’CourtofVictoria,Children’sCourtofVictoria,CoronersCourtofVictoria,VictorianCivilandAdministrativeTribunal,andJurisdictionServices.ThecorporatesupporttotheCourtsandtheTribunalisreflectedintheCourts’andTribunal’stotaloutputcosts.

OBJECTIV E S

CSV’soverallobjectiveisthefair,timelyandefficientdispensingofjustice.


4.2 CONTROLLED ITEMS

SCHEDULE A – CONTROLLED INCOME AND EXPENSES BY JURISDICTION FOR THE YEAR ENDED 30 JUNE 2020



Magistrates' Court of Victoria

Children's Court of Victoria

Coroners Court of Victoria

Victorian Civil & Administrative

Tribunal

Jurisdiction Services

Total

2020 $'000

2019 $'000

2020 $'000

2019 $'000

2020 $'000

2019 $'000

2020 $'000

2019 $'000

2020 $'000

2019 $'000

2020 $'000

2019 $'000

2020 $'000

2019 $'000

2020 $'000

2019 $'000

INCOME FROM TRANSACTIONS

Outputappropriations(i) 60,132 58,635 76,784 68,356 176,115 153,726 26,666 24,474 17,697 16,003 21,469 18,224 101,303 89,053 480,167 428,469

Specialappropriations(i) 36,143 34,580 37,228 37,169 61,075 55,904 6,184 6,506 5,621 4,303 21,476 19,447 10 46 167,736 157,954

Grants 0 0 0 0 4,374 8,164 73 0 379 221 20,749 19,480 42 299 25,617 28,164

Otherincome 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0

Total income from transactions 96,275 93,215 114,013 105,525 241,564 217,793 32,923 30,980 23,697 20,527 63,693 57,150 101,355 89,397 673,520 614,588


EmployeeexpensesandJudicialOfficerremuneration 62,564 58,051 60,664 56,049 137,271 123,102 21,044 19,010 13,851 11,738 50,722 46,843 28,498 26,920 374,614 341,714

Depreciationandamortisation 11,102 6,570 17,428 18,461 26,925 22,539 2,735 1,811 109 45 5,663 715 8,962 11,968 72,923 62,109

Interestexpense 130 61 3,608 4,832 808 117 38 15 6 5 192 40 26 (88) 4,807 4,983

Grantsandothertransfers 350 350 142 1 5,576 5,368 268 316 0 0 0 0 8,772 7,933 15,108 13,968

Capitalassetcharge(i) 10,291 10,789 6,895 7,849 15,808 14,353 2,334 2,340 143 79 1,210 450 9,681 9,639 46,362 45,499

Suppliesandservices 14,315 16,576 25,843 25,773 49,938 41,240 6,812 6,574 9,358 8,585 7,830 8,393 41,094 36,947 155,189 144,086

Total expenses from transactions 98,751 92,397 114,579 112,965 236,325 206,718 33,230 30,066 23,468 20,453 65,617 56,441 97,033 93,320 669,003 612,360

Net result from transactions (net operating balance) (2,476) 818 (566) (7,440) 5,239 11,076 (307) 914 229 74 (1,924) 708 4,322 (3,923) 4,517 2,228


Netgain/(loss)onnon-financialassets 115 99 70 119 108 193 3 26 9 (2) 19 12 22 21 346 468

Netgain/(loss)onfinancialinstruments 0 0 0 0 0 0 0 0 0 0 0 0 190 381 190 381

Othergains/(losses)fromothereconomicflows (447) (1,850) (384) (1,576) (666) (2,622) (94) (376) (42) (151) (152) (590) (130) (498) (1,916) (7,663)

Total other economic flows included in net result (332) (1,751) (314) (1,457) (558) (2,429) (92) (350) (33) (153) (133) (578) 83 (95) (1,379) (6,814)

Net result from continuing operations (2,808) (933) (880) (8,897) 4,681 8,646 (399) 564 196 (79) (2,057) 131 4,405 (4,018) 3,138 (4,586)

OTHER ECONOMIC FLOWS-OTHER COMPREHENSIVE INCOME

ITEMS THAT WILL NOT BE RECLASSIFIED TO NET RESULT

Changesinphysicalassetrevaluationreserve(i) 14,950 8,218 13,383 16,040 11,021 21,213 2,341 2,483 0 0 0 0 2,642 5,891 44,337 53,844

Total other economic flows – other comprehensive income 14,950 8,218 13,383 16,040 11,021 21,213 2,341 2,483 0 0 0 0 2,642 5,891 44,337 53,844

Comprehensive result 12,142 7,285 12,503 7,143 15,702 29,859 1,942 3,047 196 (79) (2,057) 131 7,046 1,873 47,475 49,258

2019amountshavebeenrestatedasaresultofacorrectionofanerror(seeNote10).

Note:

(i) Non-financial assets, Capital asset charge and Changes in physical asset revaluation reserve have been allocated by Jurisdiction.


SCHEDULE A – CONTROLLED INCOME AND EXPENSES BY JURISDICTION FOR THE YEAR ENDED 30 JUNE 2020







Tribunal


Total

2020 $'000

2019 $'000

2020 $'000

2019 $'000

2020 $'000

2019 $'000

2020 $'000

2019 $'000

2020 $'000

2019 $'000

2020 $'000

2019 $'000

2020 $'000

2019 $'000

2020 $'000

2019 $'000


Outputappropriations(i) 60,132 58,635 76,784 68,356 176,115 153,726 26,666 24,474 17,697 16,003 21,469 18,224 101,303 89,053 480,167 428,469

Specialappropriations(i) 36,143 34,580 37,228 37,169 61,075 55,904 6,184 6,506 5,621 4,303 21,476 19,447 10 46 167,736 157,954

Grants 0 0 0 0 4,374 8,164 73 0 379 221 20,749 19,480 42 299 25,617 28,164

Otherincome 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0

Total income from transactions 96,275 93,215 114,013 105,525 241,564 217,793 32,923 30,980 23,697 20,527 63,693 57,150 101,355 89,397 673,520 614,588


EmployeeexpensesandJudicialOfficerremuneration 62,564 58,051 60,664 56,049 137,271 123,102 21,044 19,010 13,851 11,738 50,722 46,843 28,498 26,920 374,614 341,714

Depreciationandamortisation 11,102 6,570 17,428 18,461 26,925 22,539 2,735 1,811 109 45 5,663 715 8,962 11,968 72,923 62,109

Interestexpense 130 61 3,608 4,832 808 117 38 15 6 5 192 40 26 (88) 4,807 4,983

Grantsandothertransfers 350 350 142 1 5,576 5,368 268 316 0 0 0 0 8,772 7,933 15,108 13,968

Capitalassetcharge(i) 10,291 10,789 6,895 7,849 15,808 14,353 2,334 2,340 143 79 1,210 450 9,681 9,639 46,362 45,499

Suppliesandservices 14,315 16,576 25,843 25,773 49,938 41,240 6,812 6,574 9,358 8,585 7,830 8,393 41,094 36,947 155,189 144,086

Total expenses from transactions 98,751 92,397 114,579 112,965 236,325 206,718 33,230 30,066 23,468 20,453 65,617 56,441 97,033 93,320 669,003 612,360

Net result from transactions (net operating balance) (2,476) 818 (566) (7,440) 5,239 11,076 (307) 914 229 74 (1,924) 708 4,322 (3,923) 4,517 2,228


Netgain/(loss)onnon-financialassets 115 99 70 119 108 193 3 26 9 (2) 19 12 22 21 346 468

Netgain/(loss)onfinancialinstruments 0 0 0 0 0 0 0 0 0 0 0 0 190 381 190 381

Othergains/(losses)fromothereconomicflows (447) (1,850) (384) (1,576) (666) (2,622) (94) (376) (42) (151) (152) (590) (130) (498) (1,916) (7,663)

Total other economic flows included in net result (332) (1,751) (314) (1,457) (558) (2,429) (92) (350) (33) (153) (133) (578) 83 (95) (1,379) (6,814)

Net result from continuing operations (2,808) (933) (880) (8,897) 4,681 8,646 (399) 564 196 (79) (2,057) 131 4,405 (4,018) 3,138 (4,586)

OTHER ECONOMIC FLOWS-OTHER COMPREHENSIVE INCOME


Changesinphysicalassetrevaluationreserve(i) 14,950 8,218 13,383 16,040 11,021 21,213 2,341 2,483 0 0 0 0 2,642 5,891 44,337 53,844

Total other economic flows – other comprehensive income 14,950 8,218 13,383 16,040 11,021 21,213 2,341 2,483 0 0 0 0 2,642 5,891 44,337 53,844

Comprehensive result 12,142 7,285 12,503 7,143 15,702 29,859 1,942 3,047 196 (79) (2,057) 131 7,046 1,873 47,475 49,258



SCHEDULE B–CONTROLLED ASSETS AND LIABILITIES BY JURISDICTION FOR THE YEAR ENDED 30 JUNE 2020







Tribunal


Total

2020 $'000

2019 $'000

2020 $'000

2019 $'000

2020 $'000

2019 $'000

2020 $'000

2019 $'000

2020 $'000

2019 $'000

2020 $'000

2019 $'000

2020 $'000

2019 $'000

2020 $'000

2019 $'000

Financialassets 5,790 5,596 5,118 4,372 17,865 17,733 389 363 2,036 1,895 7,491 4,777 115,904 83,086 154,594 117,824

Non-financialassets(i) 260,552 239,533 174,565 174,258 400,247 318,658 59,095 51,958 3,631 1,756 30,644 10,001 245,121 214,014 1,173,855 1,010,178

Total assets 266,342 245,129 179,684 178,630 418,112 336,391 59,484 52,321 5,667 3,651 38,135 14,779 361,025 297,100 1,328,449 1,128,001

Liabilities 36,058 27,955 61,669 71,421 109,542 51,853 9,782 6,397 4,667 3,490 33,850 12,929 31,013 25,585 286,581 199,630

Total liabilities 36,058 27,955 61,669 71,421 109,542 51,853 9,782 6,397 4,667 3,490 33,850 12,929 31,013 25,585 286,581 199,630

Net assets 230,284 217,174 118,015 107,210 308,570 284,538 49,702 45,924 999 160 4,285 1,850 330,012 271,515 1,041,868 928,371


Note:

(i) Non-financial assets, Capital asset charge and Changes in physical asset revaluation reserve have been allocated by Jurisdiction.


SCHEDULE B–CONTROLLED ASSETS AND LIABILITIES BY JURISDICTION FOR THE YEAR ENDED 30 JUNE 2020







Tribunal


Total

2020 $'000

2019 $'000

2020 $'000

2019 $'000

2020 $'000

2019 $'000

2020 $'000

2019 $'000

2020 $'000

2019 $'000

2020 $'000

2019 $'000

2020 $'000

2019 $'000

2020 $'000

2019 $'000

Financialassets 5,790 5,596 5,118 4,372 17,865 17,733 389 363 2,036 1,895 7,491 4,777 115,904 83,086 154,594 117,824

Non-financialassets(i) 260,552 239,533 174,565 174,258 400,247 318,658 59,095 51,958 3,631 1,756 30,644 10,001 245,121 214,014 1,173,855 1,010,178

Total assets 266,342 245,129 179,684 178,630 418,112 336,391 59,484 52,321 5,667 3,651 38,135 14,779 361,025 297,100 1,328,449 1,128,001

Liabilities 36,058 27,955 61,669 71,421 109,542 51,853 9,782 6,397 4,667 3,490 33,850 12,929 31,013 25,585 286,581 199,630

Total liabilities 36,058 27,955 61,669 71,421 109,542 51,853 9,782 6,397 4,667 3,490 33,850 12,929 31,013 25,585 286,581 199,630

Net assets 230,284 217,174 118,015 107,210 308,570 284,538 49,702 45,924 999 160 4,285 1,850 330,012 271,515 1,041,868 928,371


4.3 ADMINISTERED (NON-CONTROLLED) ITEMS FOR THE FINANCIAL YE AR ENDED 30 JUNE 2020

Administeredincomeincludestaxes,feesandfinesandSpecialAppropriationsprovidedtofundpaymentsforcriminalinjuriescompensation.AdministeredexpensesincludepaymentsmadeonbehalfoftheStateandpaymentsintotheconsolidatedfund.Administeredassetsincludegovernmentincomeearnedbutyettobecollected.Administeredliabilitiesincludegovernmentexpensesincurredbutyettobepaid.AdministeredresourcesareaccountedforonacashbasisexceptforJurisdictionServices,theSupremeCourtCITECe-filingfees,Magistrates’Courtrevenuereceivedfromservicesprovidedtocreditratingagencies,

andCountyCourtadministeredrevenuewhichisaccountedforonanaccrualbasisusingsameaccountingpoliciesadoptedforrecognitionofCSV’sitemsinthefinancialstatements.BothcontrolledandadministereditemsofCSVareconsolidatedintothefinancialstatementsoftheState.

CSVdoesnotgaincontroloverassetsarisingfromtaxesandfines,consequentlynoincomeisrecognisedinCSV’sfinancialstatements.CSVcollectstheseamountsonbehalfoftheState.Accordingly,theamountsaredisclosedasincomeinthescheduleofAdministereditems.






Tribunal


Total

2020 $'000

2019 $'000

2020 $'000

2019 $'000

2020 $'000

2019 $'000

2020 $'000

2019 $'000

2020 $'000

2019 $'000

2020 $'000

2019 $'000

2020 $'000

2019 $'000

Administered income from transactions

Specialappropriationsapplied 0 0 0 0 45,146 46,008 0 0 0 0 0 0 45,146 46,008

Fines 0 280 (88) (1,720) 4,227 4,342 0 0 0 0 0 0 4,140 2,902

Salesofgoodsandservices(includingfees)(i) 24,699 22,585 10,150 10,408 19,615 22,181 3 3 8,335 9,931 54 114 62,856 65,221

Otherincome 63 103 73 67 212 309 0 0 0 0 1,019 1,005 1,368 1,484

Total administered income from transactions 24,763 22,967 10,136 8,755 69,200 72,840 3 3 8,335 9,931 1,073 1,119 113,510 115,615

Administered expenses from transactions

PaymentsintotheConsolidatedFund(ii) (24,715) (22,875) (10,063) (8,689) (23,913) (26,617) (3) (3) (8,335) (9,931) (152) (2,857) (67,181) (70,971)

Criminalinjuriescompensation(iii) 0 0 0 0 (44,028) (46,208) 0 0 0 0 0 0 (44,028) (46,208)

Otherexpenses 0 0 (911) 2,164 (18) 49 0 0 0 0 (894) (1,099) (1,823) 1,114

Total administered expenses from transactions (24,715) (22,875) (10,974) (6,524) (67,959) (72,776) (3) (3) (8,335) (9,931) (1,046) (3,956) (113,032) (116,065)

Total administered net result from transactions (net operating balance) 48 92 (839) 2,231 1,241 64 0 0 0 0 27 (2,837) 477 (450)

Administered other economic flows included in administered net result

Netgain/(loss)onnon-financialassets

Netgain/(loss)onfinancialinstruments

Othergains/(losses)fromothereconomicflows

Total administered other economic flows 0 0 0 0 0 0 0 0 0 0 0 0 0 0

Total administered net result 48 92 (839) 2,231 1,241 64 0 0 0 0 27 (2,837) 477 (450)

Notes:

(i) CSV has considered the impact of COVID-19 on Fees and has noted the potential for a reduction in Fees in 2020-21.

(ii) Payments into the Consolidated Fund by Jurisdiction Services relates to fines and other income paid on behalf of the jurisdictions.

(iii) Criminal injuries compensation payments are awarded by the Victims of Crime Assistance Tribunal and are funded from Special appropriations on determination of each case in accordance with Victims of Crime Assistance Act 1996 s.69.







Tribunal


Total

2020 $'000

2019 $'000

2020 $'000

2019 $'000

2020 $'000

2019 $'000

2020 $'000

2019 $'000

2020 $'000

2019 $'000

2020 $'000

2019 $'000

2020 $'000

2019 $'000

Administered income from transactions

Specialappropriationsapplied 0 0 0 0 45,146 46,008 0 0 0 0 0 0 45,146 46,008

Fines 0 280 (88) (1,720) 4,227 4,342 0 0 0 0 0 0 4,140 2,902

Salesofgoodsandservices(includingfees)(i) 24,699 22,585 10,150 10,408 19,615 22,181 3 3 8,335 9,931 54 114 62,856 65,221

Otherincome 63 103 73 67 212 309 0 0 0 0 1,019 1,005 1,368 1,484

Total administered income from transactions 24,763 22,967 10,136 8,755 69,200 72,840 3 3 8,335 9,931 1,073 1,119 113,510 115,615

Administered expenses from transactions

PaymentsintotheConsolidatedFund(ii) (24,715) (22,875) (10,063) (8,689) (23,913) (26,617) (3) (3) (8,335) (9,931) (152) (2,857) (67,181) (70,971)

Criminalinjuriescompensation(iii) 0 0 0 0 (44,028) (46,208) 0 0 0 0 0 0 (44,028) (46,208)

Otherexpenses 0 0 (911) 2,164 (18) 49 0 0 0 0 (894) (1,099) (1,823) 1,114

Total administered expenses from transactions (24,715) (22,875) (10,974) (6,524) (67,959) (72,776) (3) (3) (8,335) (9,931) (1,046) (3,956) (113,032) (116,065)

Total administered net result from transactions (net operating balance) 48 92 (839) 2,231 1,241 64 0 0 0 0 27 (2,837) 477 (450)

Administered other economic flows included in administered net result

Netgain/(loss)onnon-financialassets

Netgain/(loss)onfinancialinstruments

Othergains/(losses)fromothereconomicflows

Total administered other economic flows 0 0 0 0 0 0 0 0 0 0 0 0 0 0

Total administered net result 48 92 (839) 2,231 1,241 64 0 0 0 0 27 (2,837) 477 (450)


ADMINISTERED (NON-CONTROLLED) ITEMS (CONTINUED) FOR THE FINANCIAL YEAR ENDED 30 JUNE 2020





Victorian Civil & Administrative Tribunal

Jurisdiction Services Total

2020 $'000

2019 $'000

2020 $'000

2019 $'000

2020 $'000

2019 $'000

2020 $'000

2019 $'000

2020 $'000

2019 $'000

2020 $'000

2019 $'000

2020 $'000

2019 $'000

Administered financial assets

Cashanddeposits 182 99 2,557 2,777 3,215 2,889 0 0 719 374 3,290 3,081 9,964 9,219

Receivables 14 0 1,216 2,217 63 41 0 0 0 0 (4) (7) 1,288 2,251

Total administered financial assets 196 99 3,773 4,994 3,278 2,930 0 0 719 374 3,286 3,074 11,252 11,470

Administered liabilities

Creditorsandaccruals 0 (2) 0 0 (66) 0 0 0 (515) (319) (213) (493) (795) (814)

Depositspayable (35) 49 (1,652) (1,872) (4,899) (4,573) 0 0 447 597 (3,084) (2,999) (9,223) (8,798)

Provisions(i) 0 0 0 0 (2,400) (3,500) 0 0 0 0 (0) (1) (2,400) (3,501)

Total administered liabilities (35) 47 (1,652) (1,872) (7,366) (8,073) 0 0 (68) 278 (3,297) (3,493) (12,418) (13,114)

Total administered net assets (liabilities) 161 145 2,121 3,123 (4,088) (5,144) 0 0 651 651 (11) (419) (1,166) (1,643)

Equity

Contributedcapital (30) (53) (0) (891) 3,511 5,207 0 0 0 (651) (1,837) (2,418) 1,643 1,194

Net worth 131 92 2,121 2,231 (577) 64 0 0 651 0 (1,849) (2,837) 476 (450)

Note:

(i) Criminal injuries compensation payments that have been determined but not yet paid are recognised as a provision in the table above.


ADMINISTERED (NON-CONTROLLED) ITEMS (CONTINUED) FOR THE FINANCIAL YEAR ENDED 30 JUNE 2020





Victorian Civil & Administrative Tribunal

Jurisdiction Services Total

2020 $'000

2019 $'000

2020 $'000

2019 $'000

2020 $'000

2019 $'000

2020 $'000

2019 $'000

2020 $'000

2019 $'000

2020 $'000

2019 $'000

2020 $'000

2019 $'000

Administered financial assets

Cashanddeposits 182 99 2,557 2,777 3,215 2,889 0 0 719 374 3,290 3,081 9,964 9,219

Receivables 14 0 1,216 2,217 63 41 0 0 0 0 (4) (7) 1,288 2,251

Total administered financial assets 196 99 3,773 4,994 3,278 2,930 0 0 719 374 3,286 3,074 11,252 11,470

Administered liabilities

Creditorsandaccruals 0 (2) 0 0 (66) 0 0 0 (515) (319) (213) (493) (795) (814)

Depositspayable (35) 49 (1,652) (1,872) (4,899) (4,573) 0 0 447 597 (3,084) (2,999) (9,223) (8,798)

Provisions(i) 0 0 0 0 (2,400) (3,500) 0 0 0 0 (0) (1) (2,400) (3,501)

Total administered liabilities (35) 47 (1,652) (1,872) (7,366) (8,073) 0 0 (68) 278 (3,297) (3,493) (12,418) (13,114)

Total administered net assets (liabilities) 161 145 2,121 3,123 (4,088) (5,144) 0 0 651 651 (11) (419) (1,166) (1,643)

Equity

Contributedcapital (30) (53) (0) (891) 3,511 5,207 0 0 0 (651) (1,837) (2,418) 1,643 1,194

Net worth 131 92 2,121 2,231 (577) 64 0 0 651 0 (1,849) (2,837) 476 (450)


NO T E 5. K E Y A S SE T S AVA IL A BL E TO S UP P OR T OU T P U T DEL I V ERY

INTRODUCTION

CSVcontrolsinfrastructurethatisutilisedinfulfillingitsobjectivesandconductingactivities.TheinfrastructurerepresentsthekeyresourcesthathavebeenentrustedtoCSVtobeutilisedfordeliveryofitsoutputs.

FAIR VALUE ME A SUREMENT

Wheretheassetsincludedinthissectionarecarriedatfairvalue,additionalinformationisdisclosedinNote8.3inconnectionwithhowthosefairvaluesweredetermined.

STRUCTURE

5.1 Property,plantandequipment

5.2 Intangibleassets

5.1 PROPERT Y, PL ANT AND EQUIPMENT (i)

Gross carrying amount

Accumulated depreciation

Net carrying amount

2020 $'000

2019 $'000

2020 $'000

2019 $'000

2020 $'000

2019 $'000

Landatfairvalue 464,958 412,632 0 0 464,958 412,632

Buildingsatfairvalue 545,976 426,951 (41,829) (1,647) 504,147 425,304

Leaseholdbuildingsatfairvaluesubjecttofinancelease 79,905 79,905 (48,680) (32,166) 31,224 47,739

Leaseholdimprovementsatfairvalue 26,673 15,476 (5,924) (2,936) 20,750 12,540

Plantandequipmentatfairvalue 6,174 5,934 (2,522) (2,050) 3,652 3,884

Plantandequipment–Right-ofUse(2019FinanceLeases) 14,212 13,941 (3,994) (4,066) 10,218 9,875

Computerandtelecommunicationsequipmentatfairvalue 34,247 25,083 (17,304) (10,228) 16,943 14,855

Culturalassetsatfairvalue 916 916 0 0 916 916

Assetsunderconstructionatcost 81,355 51,953 0 0 81,355 51,953

Total property, plant and equipment 1,254,416 1,032,791 (120,253) (53,092) 1,134,163 979,698


Note:

(i) AASB 16 Leases has been applied for the first time since 1 July 2019.


Thefollowingtablesaresubsetsofbuildings,andplantandequipmentbyright-of-useassets.

5.1(A) TOTAL RIGHT-OF-USE ASSETS: BUILDINGS, PLANT, EQUIPMENT AND VEHICLES


2020

Accumulated depreciation

2020

Net carrying amount

2020

Buildingsatfairvalue 169,631 (62,270) 107,361

Property,plantandequipment 14,212 (3,994) 10,218

Net carrying amount 183,842 (66,264) 117,579

Buildings at fair value

Plant, equipment and vehicles at fair value

Openingbalance1July2019(i) 128,164 9,875

Additions 9,300 5,161

Disposals (2,253)

Depreciation (30,104) (2,388)

Transfertodisposalgroupheldforsale (178)

Closing balance at 30 June 2020 107,361 10,218

(i) This balance represents the initial recognition of right-of-use assets recorded on the balance sheet on 1 July 2019 along with the transfer from finance lease assets (recognised under AASB 117 at 30 June 2019) to right-of-use assets (recognised under AASB 16 at 1 July 2019).


Initial recognition:itemsofproperty,plantandequipmentaremeasuredinitiallyatcostandsubsequentlyrevaluedatfairvaluelessaccumulateddepreciationandimpairment.Whereanassetisacquiredfornoornominalcost,afairvalueisdeterminedatthedateofacquisition.Assetstransferredaspartofamachineryofgovernmentchangearetransferredattheircarryingamount.

Thecostofconstructednon-financialphysicalassetsincludesthecostofallmaterialsusedinconstruction,directlabourontheprojectandanappropriateproportionofvariableandfixedoverheads.

Thecostofleaseholdimprovementsiscapitalisedanddepreciatedovertheshorteroftheremainingtermoftheleaseoritsestimatedusefullives.

Right-of-use asset acquired by lessees (Under AASB 16 – Leases from 1 July 2019) – Initial measurement.

CSVrecognisedaright-of-useassetandaleaseliabilityattheleasecommencementdate.Theright-of-useassetisinitiallymeasureatcostwhichcomprisestheinitialamountoftheleaseliabilityadjustedfor:

` anyleasepaymentsmadeatorbeforethecommencementdate;plus

` anyinitialdirectcostsincurred;and

` anestimateofcoststodismantleandremovetheunderlyingassetortorestoretheunderlyingassetorthesiteonwhichitislocated,lessanyleaseincentivereceived.

Subsequent measurement:property,plantandequipment(PPE)aswellasright-of-useassetsunderleasesaresubsequentlymeasuredatfairvaluelessaccumulateddepreciationandimpairment.Fairvalueisdeterminedwithregardtotheasset’shighestandbestuse(consideringlegalorphysicalrestrictionsimposedontheasset,publicannouncementsorcommitmentsmadeinrelationtotheintendeduseoftheasset)andissummarisedbelowbyassetcategory.

Right-of-use asset – subsequent measurement: CSVdepreciatestheROUassetsonastraight-linebasisfromtheleasecommencementdatetotheearlieroftheendoftheusefullifeoftheROUassetandtheendoftheleaseterm.

Inaddition,theright-of-useassetisperiodicallyreducedbyimpairmentlosses,ifanyandadjustedforcertainremeasurementsoftheleaseliability.

Non-specialised buildings and artworks:theseassetsarevaluedusingthemarketapproach,wherebyassetsarecomparedtorecentcomparablesalesorsalesofcomparableassetsthatareconsideredtohavenominalvalue.

Specialised land and specialised buildings:themarketapproachisalsousedforspecialisedlandandbuildings,althoughitisadjustedforthecommunityserviceobligationtoreflectthespecialisednatureofthelandbeingvalued.

Thecommunityserviceobligationadjustmentreflectsthevaluer’sassessmentoftheimpactofrestrictionsassociatedwithanassettotheextentthattheserestrictionsarealsoequallyapplicabletomarketparticipants.

ThecurrentreplacementcostmethodisusedtovalueCSV’sspecialisedbuildings,adjustingfortheassociateddepreciation.

Heritageassetsandinfrastructurearevaluedusingthecurrentreplacementcostmethod.Thiscostgenerallyrepresentsthereplacementcostofthebuilding/componentafterapplyingdepreciationratesonausefullifebasis.However,forsomeheritageandiconicassets,thecostmaybethereproductioncostratherthanthereplacementcostifthoseassets’servicepotentialcouldonlybereplacedbyreproducingthemwiththesamematerials.

Vehiclesarevaluedusingthecurrentreplacementcostmethod.CSVacquiresnewvehiclesandattimesdisposesofthembeforetheendoftheireconomiclife.Theprocessofacquisition,useanddisposalinthemarketofvehiclesismanagedbyVicFleetwhosetrelevantdepreciationratesduringusetoreflecttheutilisationofthevehicles.

Fairvalueforplantandequipmentthatarespecialisedinuse(suchthatitisrarelysoldotherthanaspartofagoingconcern)isdeterminedusingthecurrentreplacementcostmethod.

Note8.3includesadditionalinformationinconnectionwithfairvaluedeterminationofproperty,plantandequipment.


5.1.1 DEPRECIATION AND AMORTISATION CHARGE FOR THE PERIOD

2020 $'000

2019 $'000

Buildings 26,196 28,139

LeaseholdbuildingsatfairvalueasRightofUseAssets(2019FinanceLeases)(i)

29,740 17,621

Leaseholdimprovementsatfairvalue 3,747 1,209

Plantandequipmentatfairvalue 7,588 5,097

Plantandequipmentunderfinanceleaseatfairvalue 2,388 2,428

Software 3,263 7,614

Total property, plant and equipment 72,923 62,109


(i) $16.515m ($17.621m 2019) relates to assets contracted under the public private partnership (PPP)

Allbuildings,plantandequipmentandothernon-financialphysicalassetsthathavefiniteusefullives,aredepreciated.Theexceptionstothisruleincludeitemsunderoperatingleases,assetsheldforsale,landandculturalassets.

Depreciationisgenerallycalculatedonastraight-linebasis,atratesthatallocatetheasset’svalue,lessanyestimatedresidualvalue,overitsestimatedusefullife.Typicalestimatedusefullivesforthedifferentassetclassesforcurrentandprioryearsareincludedinthetablebelow:

Asset Useful life years

Culturalassets Indefinite

Buildings

` Structure/shell/buildingfabric 6to50

` Siteengineeringservices 6to50

` Fitout 3to25

` Trunkreticulatedbuildingsystems 3to30

Leaseholdimprovements 2to37

RightofUsebuildings 1to14

Plantandequipment 1to10

Computerandtelecommunicationequipment 1to10

Intangibleassets 3to7

Antiquefurnitureandartefacts 75to95

Theestimatedusefullives,residualvaluesanddepreciationmethodarereviewedattheendofeachannualreportingperiod,andadjustmentsmadewhereappropriate.

Right-ofuseassetsaregenerallydepreciatedovertheshorteroftheasset’susefullifeandtheleaseterm.WhereCSVobtainsownershipoftheunderlyingassetorifthecostoftheright-of-useassetreflectsthattheentitywillexerciseapurchaseoption,theentitydepreciatestheright-of-useassetoveritsusefullife.

Indefinite life assets:landandculturalassets,whichareconsideredtohaveanindefinitelife,arenotdepreciated.Depreciationisnotrecognisedinrespectoftheseassetsbecausetheirservicepotentialhasnot,inanymaterialsense,beenconsumedduringthereportingperiod.


Impairment:non-financialassets,includingitemsofproperty,plantandequipment,aretestedforimpairmentwheneverthereisanindicationthattheassetmaybeimpaired.

Theassetsconcernedaretestedastowhethertheircarryingvalueexceedstheirrecoverableamount.Whereanasset’scarryingvalueexceedsitsrecoverableamount,thedifferenceiswrittenoffasan‘othereconomicflow’,excepttotheextentthatitcanbedebitedtoanassetrevaluationsurplusamountapplicabletothatclassofasset.

Ifthereisanindicationthattherehasbeenareversalinimpairment,thecarryingamountshallbeincreasedtoitsrecoverableamount.Howeverthisreversalshouldnotincreasetheasset’scarryingamountabovewhatwouldhavebeendetermined,netofdepreciationoramortisation,ifnoimpairmentlosshadbeenrecognisedinprioryears.

Therecoverableamountformostassetsismeasuredatthehigherofdepreciatedreplacementcostandfairvaluelesscoststosell.Recoverableamountforassetsheldprimarilytogeneratenetcashinflowsismeasuredatthehigherofthepresentvalueoffuturecashflowsexpectedtobeobtainedfromtheassetandfairvaluelesscoststosell.


5.1.2 CARRYING VALUES BY ‘PURPOSE’ GROUPS

Public safety and environment

2020 $'000

2019 $'000

Crownlandatfairvalue(i) 464,958 412,632

Buildingsatfairvalue(i) 504,147 425,304

LeaseholdbuildingsatfairvalueasRightofUseAssets(2019FinanceLeases)(ii) 31,224 47,739

Leaseholdimprovementsatfairvalue(ii) 20,750 12,540

Plantandequipmentatfairvalue(iii) 3,652 3,884

Plantandequipmentunderfinanceleaseatfairvalue(iii) 10,218 9,875

Computerandtelecommunicationsequipmentatfairvalue(iii) 16,943 14,855

Culturalassetsatfairvalue(i) 916 916

Assetsunderconstructionatcost 81,355 51,953

Total property, plant and equipment 1,134,163 979,699


Notes:

(i) An independent revaluation of CSV land, buildings and cultural assets was performed by the Valuer-General of Victoria as at 30 June 2016. A Managerial Revaluation of Land was undertaken in 2019/20 in accordance with FRD 103 H A Managerial Revaluation of Buildings was undertaken in 2018/19 in accordance with FRD 103 H

(ii) Fair value of finance leasehold buildings and improvements is depreciated replacement cost.

(iii) The fair value of plant, equipment, computer and telecommunications assets is depreciated cost. This represents a reasonable approximation of fair value as there is no evidence of a reliable market-based fair value for this class of asset.

(iv) Property, plant, equipment, computer and telecommunications assets are classified primarily by the ‘purpose’ for which the assets are used, according to one of six purpose groups based upon government purpose classifications. All assets in a purpose group are further sub - categorised according to the asset’s ‘nature’ (e.g. buildings, plant etc.), with each sub - category being classified as a separate class of asset for financial reporting purposes.


5.1.3 RECONCILIATION OF MOVEMENTS IN CARRYING VALUES OF PROPERTY, PLANT AND EQUIPMENT

2020 Specialised land at

fair value

Specialised buildings at

fair value

Buildings leasehold at

fair value

Leasehold improvements at

fair value

Plant and equipment at

fair value

Computer and communication

equipment

Leased plant and equipment

at fair value

Cultural assets at fair value

Assets under construction

at cost Total

$’000 $’000 $’000 $’000 $’000 $’000 $’000 $’000 $’000 $’000

Opening balance (Restated) 412,632 425,303 47,739 12,540 3,884 14,855 9,875 916 51,953 979,698

Recognitionofright-of-useassetsoninitialapplicationofAASB16(i) 0 80,425 0 0 0 0 0 0 0 80,425

Adjusted balance at 1 July 2019 (ii) 412,632 505,729 47,739 12,540 3,884 14,855 9,875 916 51,953 1,060,123

Additions 9,300 0 0 0 0 5,161 0 88,069 102,530

Disposals 0 0 0 0 0 0 (2,253) 0 (2,253)

Depreciation 0 (40,182) (16,515) (2,987) (473) (7,116) (2,388) 0 0 (69,660)

Revaluationofproperty 44,337 0 0 0 0 0 0 0 0 44,337

Transferbetweenassetclasses 0 0 0 0 0 0 0 0 (738) (738)

Transfertodisposalgroupheldforsale 0 0 0 0 0 0 (178) 0 0 (178)

Transferin/outofassetsunderconstruction 7,989 29,299 0 11,197 241 9,204 0 0 (57,929) (0)

464,958 504,146 31,224 20,750 3,652 16,943 10,218 916 81,355 1,134,163


fair value


fair value


fair value


fair value


fair value


equipment


at fair value



at cost Total

$’000 $’000 $’000 $’000 $’000 $’000 $’000 $’000 $’000 $’000


Additions 0 0 0 0 24 0 5,262 0 54,689 59,975

Disposals 0 0 0 0 (6) 0 (2,249) 0 0 (2,255)

Depreciation 0 (28,138) (17,621) (1,209) (548) (4,550) (2,428) 0 0 (54,494)

Revaluationofproperty 0 37,804 16,040 0 0 0 0 0 0 53,844

Transferbetweenassetclasses 0 0 0 0 0 0 0 0 (3,581) (3,581)


Transferin/outofassetsunderconstruction 0 13,968 0 9,719 1,098 7,182 0 0 (31,967) 0

Closing balance 412,632 425,304 47,739 12,540 3,884 14,855 9,875 916 51,953 979,698

2018and2019amountshavebeenrestatedasaresultofacorrectionofanerror(seeNote10).

(i) Recognition of right-of-use assets on initial application of AASB 16 balance represents the initial recognition of right-of-use assets recorded on the balance sheet on 1 July 2019 relating to operating leases.

(ii) The adjusted balance relates to amounts transferred from finance lease assets (recognised under AASB 117 at 30 June 2019) to ROU assets (recognised under AASB 16 at 1 July 2019).


5.1.3 RECONCILIATION OF MOVEMENTS IN CARRYING VALUES OF PROPERTY, PLANT AND EQUIPMENT


fair value


fair value


fair value


fair value


fair value


equipment


at fair value



at cost Total

$’000 $’000 $’000 $’000 $’000 $’000 $’000 $’000 $’000 $’000


Recognitionofright-of-useassetsoninitialapplicationofAASB16(i) 0 80,425 0 0 0 0 0 0 0 80,425

Adjusted balance at 1 July 2019 (ii) 412,632 505,729 47,739 12,540 3,884 14,855 9,875 916 51,953 1,060,123

Additions 9,300 0 0 0 0 5,161 0 88,069 102,530

Disposals 0 0 0 0 0 0 (2,253) 0 (2,253)

Depreciation 0 (40,182) (16,515) (2,987) (473) (7,116) (2,388) 0 0 (69,660)

Revaluationofproperty 44,337 0 0 0 0 0 0 0 0 44,337

Transferbetweenassetclasses 0 0 0 0 0 0 0 0 (738) (738)


Transferin/outofassetsunderconstruction 7,989 29,299 0 11,197 241 9,204 0 0 (57,929) (0)

464,958 504,146 31,224 20,750 3,652 16,943 10,218 916 81,355 1,134,163


fair value


fair value


fair value


fair value


fair value


equipment


at fair value



at cost Total

$’000 $’000 $’000 $’000 $’000 $’000 $’000 $’000 $’000 $’000


Additions 0 0 0 0 24 0 5,262 0 54,689 59,975

Disposals 0 0 0 0 (6) 0 (2,249) 0 0 (2,255)

Depreciation 0 (28,138) (17,621) (1,209) (548) (4,550) (2,428) 0 0 (54,494)

Revaluationofproperty 0 37,804 16,040 0 0 0 0 0 0 53,844

Transferbetweenassetclasses 0 0 0 0 0 0 0 0 (3,581) (3,581)


Transferin/outofassetsunderconstruction 0 13,968 0 9,719 1,098 7,182 0 0 (31,967) 0

Closing balance 412,632 425,304 47,739 12,540 3,884 14,855 9,875 916 51,953 979,698


5.2 INTANGIBLE A SSETS

5.2.1 INTANGIBLE ASSETS – EXCLUDING CASE MANAGEMENT SYSTEM (CMS)

Computer software

2020 $'000

2019 $'000


Openingbalance 55,334 45,981

Additions 11,710 0

Additionsto/transfersfromworkinprogress (7,338) 5,772

Transferbetweenassetclasses 738 3,581

Gross value at the end of the financial year 60,443 55,334

Accumulated amortisation and impairment

Openingbalance (38,474) (31,003)

Amortisation(i) (3,121) (7,472)

Closing balance (41,595) (38,474)

Net book value at the end of the financial year 18,848 16,859

5.2.2 INTANGIBLE ASSETS – CMS

Computer software

2020 $'000

2019 $'000


Openingbalance 999 999

Accumulated amortisation and impairment

Openingbalance (445) (303)

Amortisation(i) (143) (143)

Closing balance (588) (445)

Net book value at the end of the financial year 411 554

5.2.3 INTANGIBLE ASSETS – CMS (WIP)

Computer software

2020 $'000

2019 $'000


Openingbalance 6,980 1,916

Additionstoworkinprogress 5,383 5,064

Gross value at the end of the financial year 12,363 6,980

Total intangible assets 31,622 24,393

Note:

(i) The consumption of intangible produced assets is included in the ‘depreciation and amortisation’ line item on the comprehensive operating statement.


INITIAL RECOGNITION

Purchasedintangibleassetsareinitiallyrecognisedatcost.WhentherecognitioncriteriainAASB138IntangibleAssetsismet,internallygeneratedintangibleassetsarerecognisedatcost.Subsequently,intangibleassetswithfiniteusefullivesarecarriedatcostlessaccumulatedamortisationandaccumulatedimpairmentlosses.Amortisationbeginswhentheassetisavailableforuse,thatis,whenitisinthelocationandconditionnecessaryforittobecapableofoperatinginthemannerintendedbymanagement.

Aninternally-generatedintangibleassetarisingfromdevelopment(orfromthedevelopmentphaseofaninternalproject)isrecognisedif,andonlyif,allofthefollowingaredemonstrated:

a. thetechnicalfeasibilityofcompletingtheintangibleassetsothatitwillbeavailableforuseorsale;

b. anintentiontocompletetheintangibleassetanduseorsellit;

c. theabilitytouseorselltheintangibleasset;

d. theintangibleassetwillgenerateprobablefutureeconomicbenefits;

e. theavailabilityofadequatetechnical,financialandotherresourcestocompletethedevelopmentandtouseorselltheintangibleasset;and

f. theabilitytomeasurereliablytheexpenditureattributabletotheintangibleassetduringitsdevelopment.

SUBSEQUENT ME A SUREMENT

Intangibleproducedassetswithfiniteusefullives,areamortisedasan‘expensefromtransactions’onastraightlinebasisovertheirusefullives.Producedintangibleassetshaveusefullivesofbetween3and7years(2019:3and7years).

Intangiblenon-producedassetswithfinitelivesareamortisedasan‘othereconomicflow’onastraight-linebasisovertheirusefullives.Theamortisationperiodis3to5years(2019:3and5years).

IMPAIRMENT OF INTANGIBLE A SSE TS

Intangibleassetswithfiniteusefullivesaretestedforimpairmentwheneveranindicationofimpairmentisidentified.Intangibleassetsnotyetavailableforusearetestedannuallyforimpairmentandwheneverthereisanindicationthattheassetmaybeimpaired.CSVhasnointangibleassetswithindefiniteusefullives.

Thepolicyinconnectionwithtestingforimpairmentisoutlinedinsection5.1.1.


NO T E 6. O T HER A S SE T S A ND L I A BIL I T IES

INTRODUCTION

ThissectionsetsoutthoseassetsandliabilitiesthatarosefromCSV’scontrolledoperations.

STRUCTURE

6.1 Receivables

6.2 Payables

6.1 RECEIVABLES

2020 $'000

2019 $'000

Current receivables

Contractual

Otherreceivables 6,046 10,600

Allowanceforimpairmentlossesofcontractualreceivables (56) (246)

5,991 10,354

Statutory

AmountsowingfromVictorianGovernment 122,345 83,555

GSTinputtaxcreditrecoverable 6,370 6,016

128,715 89,571

Total receivables 134,706 99,925

Representedby:

Currentreceivables 132,096 98,029

Non-currentreceivables 2,609 1,896

Contractualreceivablesareclassifiedasfinancialinstrumentsandcategorisedas‘financialassetsatamortisedcosts’.Theyareinitiallyrecognisedatfairvalueplusanydirectlyattributabletransactioncosts.Subsequenttoinitialmeasurementtheyaremeasuredatamortisedcostusingtheeffectiveinterestmethod,lessanyimpairment.

Statutoryreceivablesdonotarisefromcontractsandarerecognisedandmeasuredsimilarlytocontractualreceivables(exceptforimpairment),butarenotclassifiedasfinancialinstruments.AmountsrecognisedfromtheVictorianGovernmentrepresentfundingforallcommitmentsincurredandaredrawnfromtheConsolidatedFundasthecommitmentsfalldue.


6.1.1 AGEING ANALYSIS OF CONTRACTUAL FINANCIAL ASSETS

Nointerestischargedforthefirst30daysfromtheinvoicedate.Theaveragecreditperiodforsalesofgoods/servicesandotherreceivablesis30days.Therearenomaterialfinancialassetsthatareindividuallydeterminedtobeimpaired.Currently,CSVdoesnotholdanycollateralassecuritynorcreditenhancementsrelatingtoanyofitsfinancialassets.

Therearenofinancialassetsthathavehadtheirtermsrenegotiatedsoastopreventthemfrombeingpastdueorimpaired,andtheyarestatedatthecarryingamountsasindicated.

6.2 PAYABLES

2020 $'000

2019 $'000

Current payables

Contractual

Tradecreditorsandotherpayables 32,142 33,146

Unearnedrevenue 58 0

Accruedcapitalworks 13,338 5,921

Salariesandwages 11,730 7,512

57,268 46,579

Statutory

Payrolltax 1,351 1,259

Fringebenefitstax 768 733

AmountspayabletotheJudicialCollegeofVictoria 2,186 1,646

AmountspayabletotheJudicialCommissionofVictoria 423 250

4,728 3,888

Total payables 61,996 50,468

Representedby:

Currentpayables 61,913 50,397

Non-currentpayables 83 71

Payablesconsistof:

` contractualpayables,totalling$57.27million(2019:$46.58million)thatareclassifiedasfinancialinstrumentsandmeasuredatamortisedcost.AccountspayablerepresentliabilitiesforgoodsandservicesprovidedtoCSVpriortotheendofthefinancialyearthatareunpaid;and

` statutorypayables,totalling$4.7million(2019:$3.89million)thatarerecognisedandmeasuredsimilarlytocontractualpayables,butarenotclassifiedasfinancialinstrumentsandnotincludedinthecategoryoffinancialliabilitiesatamortisedcost,becausetheydonotarisefromcontracts.

Payablesforsuppliesandserviceshaveanaveragecreditperiodof30days.

Thetermsandconditionsofamountspayabletothegovernmentandagenciesvaryaccordingtotheparticularagreementsandastheyarenotlegislativepayables,theyarenotclassifiedasfinancialinstruments.


NO T E 7. FIN A NCING OUR OP ER AT IONS

INTRODUCTION

ThissectionprovidesinformationonthesourcesoffinanceutilisedbyCSVduringitsoperations,alongwithinterestexpenses(thecostofborrowings)andotherinformationrelatedtothefinancingofactivities.

Thissectionincludesdisclosuresofbalancesthatarefinancialinstruments(suchasborrowingsandcashbalances).Notes8.1and8.3provideadditional,specificfinancialinstrumentdisclosures.

Borrowingsrefertointerestbearingliabilitiesmainlyraisedthroughleaseliabilities.Borrowingsareclassifiedasfinancialinstruments,andinterestbearingliabilitiesareclassifiedatamortisedcostunlessCSVelectstoirrevocablydesignatethematfairvaluethroughtheprofitandlossatinitialrecognition.

Theelectiondependsonthenatureandpurposeoftheinterest-bearingliabilities.

STRUCTURE

7.1 LeaseLiabilities(CSVaslessee)

7.2 Cashflowinformationandbalances

7.3 Trustaccountbalances

7.4 Commitmentsforexpenditure

7.1 LE A SE LIABILITIES (CSV A S LESSEE)

Interest bearing lease liabilities Minimum future lease payments (i)

Present value of minimum lease payments

2020 $'000

2019 $'000

2020 $'000

2019 $'000

Commissioned PPP related finance lease liabilities payable (prior period finance lease)

Notlongerthan1year 17,580 17,633 15,400 14,107

Longerthan1yearandnotlongerthan5years 15,999 33,579 15,302 30,701

Longerthan5years

Other finance lease liabilities payable (prior period finance lease) (ii)

Notlongerthan1year 18,399 4,638 17,209 4,394

Longerthan1yearandnotlongerthan5years 38,943 5,877 36,232 5,715

Longerthan5years 36,747 35,156

Minimum future lease payments 127,668 61,728 119,299 54,917

Lessfuturefinancecharges (8,369) (6,810)

Present value of minimum lease payments 119,299 54,917 119,299 54,917

Includedinthefinancialstatementsas:

Currentborrowingsleaseliabilities 32,609 18,501

Non-currentborrowingsleaseliabilities 86,690 36,417

Total lease liabilities 119,299 54,917

(i) Minimum future lease payments include the aggregate of all base payments and any guaranteed residual.

(ii) Other finance lease liabilities include obligations that are recognised on the balance sheet; the future payments related to operating and lease commitments are disclosed in Note 7.1.2 These are secured by the Assets leased. Leases liabilities are effectively secured as the rights to the leased assets revert to the lessor in the event of default.


7.1.1 LEASES

CSV’sleasescomprisevariouspropertiesandmotorvehicles.MajorityofCSV’sleasesarepropertyleaseswhichweretreatedanddisclosedasoperatingleasesunderthepreviousleasestandardAASB117andarenowrecognisedunderAASB16.

TheotherfinanceleaserelatestomotorvehiclesleasedthroughtheVicFleetleasefacility.Theleasetermistheperiodoverwhichthevehicleistobeleased.Generally,vehiclesmustberetainedforthreeyearsor60,000kms,whicheveroccursfirst.OndisposalofthevehicleanyprofitorlossonsaleisbornebyCourtServicesVictoria.

CSV’spropertyleasetermsincludesthetermstatedinthecontractadjustedforanyoptionperiods(i.e.,extensionoptions,holdoverterms,etc.)iftheoptionsarereasonablycertainofbeingexercised.

CSV’sleasepaymentsforitspropertyleasescomprisethefixedleasepaymentsandperiodicfixed%increases,marketrentreviewsonexerciseofrenewaltermsandadjustmentstoleasepaymentstoreflectchangesinCPI.

DuringthecurrentandprioryeartherewerenodefaultsorbreachesofanyofCSV’sleases.

Right-of-useassetsarepresentedinnote5.1(a).

7.1.2 RIGHT-OF-USE ASSETS – AMOUNTS RECOGNISED IN THE COMPREHENSIVE OPERATING STATEMENT

ThefollowingamountsarerecognisedintheComprehensiveOperatingStatementrelatingtoleases.

2020 $’000

Interestexpenseonleaseliabilities(i) 4,807

Total amount recognised in the comprehensive operating statement 4,807

(i) Of the balance in ‘interest on leases liabilities’, $3.527m related to assets contracted under the PPP arrangements.

7.1.3 TOTAL CASH OUTFLOWS FOR LEASES

ThefollowingamountsarerecognisedintheStatementofCashFlowsfortheyearending30June2020relatingtoleases.

2020 $’000

Total cash outflow 30,151


7.1.4 LEASE POLICY

Foranynewcontractsenteredintoonorafter1July2019,CSVconsiderswhetheracontractis,orcontainsalease.Aleaseisdefinedas‘acontract,orpartofacontract,thatconveystherighttouseanasset(theunderlyingasset)foraperiodoftimeinexchangeforconsideration’.ToapplythisdefinitionCSVassesseswhetherthecontractmeetsthreekeyevaluations:

` Whetherthecontractcontainsanidentifiedasset,whichiseitherexplicitlyidentifiedinthecontractorimplicitlyspecifiedbybeingidentifiedatthetimetheassetismadeavailabletoCSVandforwhichthesupplierdoesnothavesubstantivesubstitutionrights;

` WhetherCSVhastherighttoobtainsubstantiallyalloftheeconomicbenefitsfromuseoftheidentifiedassetthroughouttheperiodofuse,consideringitsrightswithinthedefinedscopeofthecontractandCSVhastherighttodirecttheuseoftheidentifiedassetthroughouttheperiodofuse;and

` WhetherCSVhastherighttotakedecisionsinrespectof‘howandforwhatpurpose’theassetisusedthroughouttheperiodofuse.

Thispolicyisappliedtocontractsenteredinto,orchanged,onorafter1July2019.

SEPAR ATION OF LE A SE AND NON-LE A SE COMPONENTS

Atinceptionoronreassessmentofacontractthatcontainsaleasecomponent,thelesseeisrequiredtoseparateoutandaccountseparatelyfornon-leasecomponentswithinaleasecontractandexcludetheseamountswhendeterminingtheleaseliabilityandright-of-useassetamount.

RECOGNITION AND ME A SUREMENT OF LE A SES A S A LESSEE (UNDER A A SB 16 FROM 1 JULY 2019)

A ) LE A SE LIABILIT Y – INITIAL ME A SUREMENT

Theleaseliabilityisinitiallymeasuredatthepresentvalueoftheleasepaymentsunpaidatthecommencementdate,discountedusingtheinterestrateimplicitintheleaseifthatrateisreadilydeterminableorCSV’sincrementalborrowingrate.

Leasepaymentsincludedinthemeasurementoftheleaseliabilitycomprisethefollowing:

` fixedpayments(includingin-substancefixedpayments)lessanyleaseincentivereceivable;

` variablepaymentsbasedonanindexorrate,initiallymeasuredusingtheindexorrateasatthecommencementdate;

` amountsexpectedtobepayableunderaresidualvalueguarantee;and

` paymentsarisingfrompurchaseandterminationoptionsreasonablycertaintobeexercised.

B) LE A SE LIABILIT Y – SUBSEQUENT ME A SUREMENT

Subsequenttoinitialmeasurement,theliabilitywillbereducedforpaymentsmadeandincreasedforinterest.Itisremeasuredtoreflectanyreassessmentormodification,oriftherearechangestoin-substancefixedpayments.

Whentheleaseliabilityisremeasured,thecorrespondingadjustmentisreflectedintheright-of-useasset,orprofitandlossiftheright-of-useassetisalreadyreducedtozero.

C) SHORT-TERM LE A SE S AND LE A SE S OF LOW-VALUE A SSE TS

CSVhaselectedtoaccountforshort-termleasesandleasesoflow-valueassetsusingpracticalexpedients.Insteadofrecognisingaright-of-useassetandliability,thepaymentsinrelationtothesearerecognisedasanexpenseintheOperatingStatementonastraight-linebasisovertheleaseterm.


D) PRE SENTATION OF RIGHT-OF-USE A SSE TS AND LE A SE LIABILITIE S

CSVpresentsinthebalancesheetright-of-useassetsas‘buildingsatfairvalue’and‘propertyplantequipment’.Leaseliabilitiesarepresentedas‘borrowings’inthebalancesheet.

E) RECOGNITION AND ME A SUREMENT OF LE A SE S (UNDER A A SB 117 UNTIL 30 JUNE 2019)

Inthecomparativeperiod,leasesofproperty,plantandequipmentwereclassifiedaseitherfinanceleaseoroperatingleases.

CSVdeterminedwhetheranarrangementwasorcontainedaleasebasedonthesubstanceofthearrangementandrequiredanassessmentofwhetherfulfilmentofthearrangementisdependentontheuseofthespecificasset(s);andthearrangementconveyedarighttousetheasset(s).

Leasesofproperty,plantandequipmentwhereCSVasalesseehadsubstantiallyalloftherisksandrewardsofownershipwereclassifiedasfinanceleases.Financeleaseswereinitiallyrecognisedasassetsandliabilitiesatamountsequaltothefairvalueoftheleasedpropertyor,iflower,thepresentvalueoftheminimumleasepayment,eachdeterminedattheinceptionofthelease.Theleasedassetisaccountedforasanon-financialphysicalassetanddepreciatedovertheshorteroftheestimatedusefullifeoftheassetorthetermofthelease.Minimumfinanceleasepaymentswereapportionedbetweenthereductionoftheoutstandingleaseliabilityandtheperiodicfinanceexpense,whichiscalculatedusingtheinterestrateimplicitintheleaseandchargeddirectlytotheconsolidatedcomprehensiveoperatingstatement.

AssetsheldunderotherleaseswereclassifiedasoperatingleasesandwerenotrecognisedinCSV’sbalancesheet.OperatingleasepaymentswererecognisedasanoperatingexpenseintheStatementofComprehensiveIncomeonastraight-linebasisovertheleaseterm.

F) COMMISSIONED PUBLIC PRIVATE PARTNERSHIP

TheState,throughCSV,enteredintoa20-yearPPPwiththeLibertyGroupConsortiumPtyLtdinJune2002forthedesign,constructionandmaintenanceoftheCountyCourt.Undertheagreement,theportionofthepaymentstoTheLibertyGroupPtyLtdthatrelatestoCSV’sright-of-useassetsareaccountedforasLeaseLiabilities.Inaddition,untiltheendofthisPPParrangement,CSVpaysTheLibertyGroupConsortiumPtyLtdfortheongoingoperationandmaintenanceoftheCourt(refertothe‘publicprivatepartnerships’componentofNote7.4,Commitmentsforexpenditure).

Priorto2019-20,CSVaccountedforthecomponentofperiodicpaymentsrelatedtothedesignandconstructionorupgradingoftheCountyCourtsasafinanceleaseinaccordancewithAASB1008LeaseswhichwassupersededbyAASB117Leases(“AASB117”)andarenowrecognisedunderAASB16.TheremainingcomponentrelatingtotheongoingoperationsandmaintenanceoftheCountyCourtsisaccountedforasoperatingexpensesastheyareincurredintheComprehensiveOperatingStatement.


7.2 CA SH FLOW INFORMATION AND BAL ANCES

Cashanddeposits,includingcashequivalents,comprisecashonhandandcashatbankthatareheldforthepurposeofmeetingshort-termcashcommitments,ratherthanforinvestmentpurposes,andwhicharereadilyconvertibletoknownamountsofcashandaresubjecttoaninsignificantriskofchangesinvalue.

DuetotheState’sinvestmentpolicyandfundingarrangements,CSVdoesnotholdalargecashreserveinitsbankaccounts.CashreceivedfromgenerationofincomeisgenerallypaidintotheState’sbankaccount(‘publicaccount’).Similarly,CSVexpenditure,includingintheformofchequesdrawnforthepaymentstoitssuppliersandcreditors,ismadeviathepublicaccount.ThepublicaccountremitstoCSVthecashrequireduponpresentationofchequesbyCSV’ssuppliersorcreditors.

ThesefundingarrangementsoftenresultinCSVhavinganotionalshortfallinthecashatbankrequiredforpaymentofunpresentedchequesatreportingdate.At30June2020,cashatbankincludedtheamountofanotionalshortfallforthepaymentofunpresentedchequesof$0.72millioninCSVExpenditureAccount(2019:$2.78million)and$0.27millionintheJurorPaymentsAccount(2019:$0.26million).

Forcashflowstatementpresentationpurposes,cashandcashequivalentscomprisethecashbalanceandfundsheldintrust,$19.89million(2019$17.90million)detailsofwhichcanbefoundatNote8.1.1.


7.2.1 RECONCILIATION OF NET RESULT FOR THE PERIOD TO CASH FLOW FROM OPERATING ACTIVITIES

2020 $'000

2019 $'000

Net result for the period 3,138 (4,586)

Non-cash movements

(Gain)/lossonsaleordisposalofnon-currentassets (346) (468)

Depreciationandamortisationofnon-currentassets 72,923 62,109

Allowancefordoubtfuldebtsandbaddebts (190) (381)

Movements in net assets and liabilities

Decrease/(increase)inreceivables (34,903) (346)

Decrease/(increase)inprepayments (2,005) (3,517)

Increase/(decrease)inpayables 4,112 7,418

Increase/(decrease)inprovisions 11,220 14,334

Net cash from/(used in) operating activities 53,948 74,563

2019amountshavebeenrestatedasaresultofacorrectionofanerror(seeNote10)


7.3 TRUST ACCOUNT BAL ANCES

Fundsheldintrustarequarantinedforusespecificallyforthepurposesunderwhicheachtrustfundhasbeenestablishedandarenotusedforoperatingpurposes.

TRUST ACCOUNT BALANCES RELATING TO TRUST ACCOUNTS CONTROLLED AND/OR ADMINISTERED BY CSV

Opening balance as at 1-Jul-19

$'000

Total receipts

$'000

Total payments

$'000

Closing balance as at 30-Jun-20

$'000


$'000

Total receipts

$'000

Total payments

$'000


$'000

Cash and cash equivalents and investments

CONTROLLED TRUSTS

Treasury Trust Fund

` FinancialManagementAct1994(No.18/1994),Part4

` WorkingaccountforCSV 12,661 491 1,829 11,323 10,403 2,888 629 12,661

Vehicle Lease Trust Account


` WorkingaccountforthesaleofVicFleetmotorvehicles 113 405 441 77 49 590 526 113

Victorian Civil and Administrative Tribunal Trust Account


` WorkingaccountfortheOwnersCorporation,DomesticBuildingandResidentialTenanciesdisputes. 2,949 20,749 19,284 4,414 2,547 19,480 19,077 2,949

Inter-Departmental Transfer Fund 5,206 4,377 4,223 5,361 1,556 5,797 2,147 5,206

Total controlled trusts 20,930 26,021 25,776 21,175 14,554 28,755 22,379 20,930(i) Prior year comparatives for Inter-Departmental Transfer Fund restated to more accurately reflect total receipts and total payments.


$'000

Total receipts

$'000

Total payments

$'000


$'000


$'000

Total receipts

$'000

Total payments

$'000


$'000

ADMINISTERED TRUSTS

Courtlink Trust Account

` Financial Management Act 1994(No.18/1994),Part4

` WorkingaccountfortheMagistrates'Courtscourtorders(i) 187 9,138 9,823 (498) 11 11,605 11,428 187

Suspense Account


` WorkingaccountforCSV 588 0 (17) 605 466 27 (96) 588

Public Service Commuter Club

` Financial Management Act 1994 (No.18/1994),Part4

` WorkingaccountforthePublicServiceCommuterClub(ii) (401) 1,011 894 (284) (372) 985 1,014 (401)

Revenue Suspense


` Workingaccountfortheallocationofrevenue 0 8 0 8 0 0 0 0

Treasury Trust Fund


` WorkingaccountforCSV 2,400 4 (67) 2,470 1,743 11 (645) 2,400

Security Account


` Holdsmoniesassecurityforgoodbehaviour 160 10 0 170 127 34 0 160



` WorkingaccountfortheOwnersCorporation,DomesticBuildingandResidentialTenanciesdisputes

233 133 (195)562 (75) (11) (319) 233

Total administered trusts 3,168 10,304 10,439 3,034 1,899 12,651 11,382 3,168

Notes:

(i) The Trust fund deficit is due to administrative issues between CSV and Fines Victoria who collect monies on CSV’s behalf. These issues are being discussed with Fines Victoria and are expected to be resolved in the 2020-21 financial year.

(ii) The Commuter Club is in deficit because yearly tickets are purchased in advance and reimbursed over the course of 12 months.


Fundsheldintrustarequarantinedforusespecificallyforthepurposesunderwhicheachtrustfundhasbeenestablishedandarenotusedforoperatingpurposes.

TRUST ACCOUNT BALANCES RELATING TO TRUST ACCOUNTS CONTROLLED AND/OR ADMINISTERED BY CSV


$'000

Total receipts

$'000

Total payments

$'000


$'000


$'000

Total receipts

$'000

Total payments

$'000


$'000

Cash and cash equivalents and investments

CONTROLLED TRUSTS

Treasury Trust Fund


` WorkingaccountforCSV 12,661 491 1,829 11,323 10,403 2,888 629 12,661

Vehicle Lease Trust Account


` WorkingaccountforthesaleofVicFleetmotorvehicles 113 405 441 77 49 590 526 113



` WorkingaccountfortheOwnersCorporation,DomesticBuildingandResidentialTenanciesdisputes. 2,949 20,749 19,284 4,414 2,547 19,480 19,077 2,949

Inter-Departmental Transfer Fund 5,206 4,377 4,223 5,361 1,556 5,797 2,147 5,206

Total controlled trusts 20,930 26,021 25,776 21,175 14,554 28,755 22,379 20,930(i) Prior year comparatives for Inter-Departmental Transfer Fund restated to more accurately reflect total receipts and total payments.


$'000

Total receipts

$'000

Total payments

$'000


$'000


$'000

Total receipts

$'000

Total payments

$'000


$'000

ADMINISTERED TRUSTS

Courtlink Trust Account


` WorkingaccountfortheMagistrates'Courtscourtorders(i) 187 9,138 9,823 (498) 11 11,605 11,428 187

Suspense Account


` WorkingaccountforCSV 588 0 (17) 605 466 27 (96) 588

Public Service Commuter Club


` WorkingaccountforthePublicServiceCommuterClub(ii) (401) 1,011 894 (284) (372) 985 1,014 (401)

Revenue Suspense


` Workingaccountfortheallocationofrevenue 0 8 0 8 0 0 0 0

Treasury Trust Fund


` WorkingaccountforCSV 2,400 4 (67) 2,470 1,743 11 (645) 2,400

Security Account


` Holdsmoniesassecurityforgoodbehaviour 160 10 0 170 127 34 0 160



` WorkingaccountfortheOwnersCorporation,DomesticBuildingandResidentialTenanciesdisputes

233 133 (195)562 (75) (11) (319) 233

Total administered trusts 3,168 10,304 10,439 3,034 1,899 12,651 11,382 3,168


THIRD PART Y FUNDS UNDER M ANAGEMENT

ThirdpartyfundsundermanagementincludeassetsundermanagementbyFundsinCourt,BailMoniesandtheCourtInvestmentAccounts.

FundinCourt(FIC)isanofficeoftheSupremeCourtofVictoriathatisresponsibleforadministeringfundspaidintotheCourt.FundscanbepaidpursuanttoordersofallVictorianCourts,awardsoftheVictimsofCrimeAssistanceTribunal(VOCAT)andpursuanttolegislationsuchastheTrusteeAct1958.ThesefundsundermanagementarenotconsolidatedwithinCSVaccountsastheyarenotusedforgovernmentpurposes.

2020 $'000

2019 $'000

COURTS

BailMonies 5,947 5,265

AssetsundermanagementbytheSeniorMasteroftheSupremeCourt(FundsinCourt)(i) 1,962,872 2,024,471

1,968,819 2,029,736

(i) Further information about Funds in Court can be found at https://fundsincourt.vic.gov.au/

7.4 COMMITMENTS FOR E XPENDITURE

Commitmentsforfutureexpenditureincludeoperatingandcapitalcommitmentsarisingfromcontracts.ThesecommitmentsarerecordedbelowattheirnominalvalueandinclusiveofGST.Thesefutureexpendituresceasetobedisclosedascommitmentsoncetherelatedliabilitiesarerecognisedinthebalancesheet.

7.4.1 TOTAL COMMITMENTS PAYABLE

Nominal amounts: 2020Less than

1 year

Between 1 and 5

yearsOver

5 years Total

$'000 $'000 $'000 $'000

Publicprivatepartnership–operationandmaintenancecommitments(7.1.4.f) 13,948 14,259 0 28,207

Capitalexpenditurecommitmentspayable 6,488 12,308 0 18,797

Operatingcommitmentspayable 28,065 45,336 11,067 84,467

Othercommitmentspayable 80 73 0 153

Total commitments (inclusive of GST) 48,581 71,975 11,067 131,622

LessGSTrecoverable 4,416 6,543 1,006 11,966

Total commitments (exclusive of GST) 44,164 65,432 10,060 119,657

Nominal amounts: 2019Less than

1 year

Between 1 and 5

yearsOver

5 years Total

$'000 $'000 $'000 $'000

Publicprivatepartnership–operationandmaintenancecommitments 13,948 28,207 0 42,155

Capitalexpenditurecommitmentspayable 3,659 17,848 0 21,507

Operatingcommitmentspayable 19,363 45,564 13,085 78,011

Accommodationleasecommitmentspayable 10,299 20,874 25,044 56,217

Othercommitmentspayable 368 153 0 521

Total commitments (inclusive of GST) 47,637 112,645 38,129 198,411

LessGSTrecoverable 4,331 10,240 3,466 18,037

Total commitments (exclusive of GST) 43,306 102,405 34,662 180,374


NO T E 8. RISKS, C ON T INGENCIES A ND VA LUAT ION JUDGEMEN T S

INTRODUCTION

CSVisexposedtoriskfromitsactivitiesandoutsidefactors.Inaddition,itisoftennecessarytomakejudgementsandestimatesassociatedwithrecognitionandmeasurementofitemsinthefinancialstatements.Thissectionsetsoutfinancialinstrumentspecificinformation(includingexposurestofinancialrisks),aswellasthoseitemsthatarecontingentinnatureorrequireahigherlevelofjudgementtobeapplied,whichforCSVrelatemainlytofairvaluedetermination.

STRUCTURE

8.1 Financialinstrumentsspecificdisclosures

8.2 Contingentassetsandcontingentliabilities

8.3 Fairvaluedetermination

8.1 FINANCIAL INSTRUMENTS SPECIFIC DISCLOSURES

INTRODUCTION

Financialinstrumentsariseoutofcontractualagreementsthatgiverisetoafinancialassetofoneentityandafinancialliabilityorequityinstrumentofanotherentity.DuetothenatureofCSV’sactivities,certainfinancialassetsandfinancialliabilitiesariseunderstatuteratherthanacontract(forexampletaxes,finesandpenalties).SuchassetsandliabilitiesdonotmeetthedefinitionoffinancialinstrumentsinAASB 132 Financial Instruments: Presentation.

GuaranteesissuesonbehalfofCSVarefinancialinstrumentsbecause,althoughauthorisedunderstatute,termsandconditionsforeachfinancialguaranteemayvaryandaresubjecttoanagreement.

FINANCIAL A SSE TS AT AMORTISED COST

Financialassetsaremeasuredatamortisedcostsifbothofthefollowingcriteriaaremetandtheassetsarenotdesignatedasfairvaluethroughnetresult:

` theassetsareheldbyCSVtocollectthecontractualcashflows,and

` theassets’contractualtermsgiverisetocashflowsthataresolelypaymentsofprincipalandinterest.

Theseassetsareinitiallyrecognisedatfairvalueplusanydirectlyattributabletransactioncostsandsubsequentlymeasuredatamortisedcostusingtheeffectiveinterestmethodlessanyimpairment.

CSVrecognisesthefollowingassetsinthiscategory:

` cashanddeposits;and

` receivables(excludingstatutoryreceivables).

CATEGORIE S OF FINANCIAL A SSE TS PRE V IOUSLY UNDER A A SB 139

AASB139requiresCSVtoclassifyfinancialassetsasloansandreceivables,availableforsalefinancialinstrumentassets,heldtomaturityinvestmentsoratfairvaluethroughprofitandloss.

CSVhasnofinancialassetsclassifiedas“availableforsalefinancialassets”or“heldtomaturityinvestments”or“atfairvaluethroughprofitandloss”.

Loans and receivables

Loansandreceivablesandcasharefinancialinstrumentassetswithfixedanddeterminablepaymentsthatarenotquotedonanactivemarket.Theseassetsandliabilitiesareinitiallyrecognisedatfairvalueplusanydirectlyattributabletransactioncosts.Subsequenttoinitialmeasurement,loansandreceivablesaremeasuredatamortisedcostusingtheeffectiveinterestmethod(andforassets,lessanyimpairment).CSVrecognisesthefollowingassetsinthiscategory:

` cashanddeposits;and

` receivables(excludingstatutoryreceivables).


FINANCIAL LIABILITIE S AT FAIR VALUE

Financialliabilitiesarecategorisedatfairvaluethroughnetresultiftheyaredesignatedassuchuponinitialrecognition.Financialliabilitiesatfairvaluethroughnetresultareinitiallymeasuredatfairvalue;attributabletransactioncostsareexpensedasincurred.Subsequently,anychangesinfairvaluearerecognisedinthenetresultasothereconomicflowsunlessthechangesinfairvaluerelatetochangesinCSV’sowncreditrisk.Inthiscase,theportionofthechangeattributabletochangesinCSV’sowncreditriskisrecognisedinothercomprehensiveincomewithnosubsequentrecyclingtonetresultwhenthefinancialliabilityisderecognised.

DERECOGNITION OF FINANCIAL A SSE TS

Afinancialasset(or,whereapplicable,apartofafinancialassetorpartofagroupofsimilarfinancialassets)isderecognisedwhen:

` therightstoreceivecashflowsfromtheassethaveexpired;or

` CSVretainstherighttoreceivecashflowsfromtheasset,buthasassumedanobligationtopaytheminfullwithoutmaterialdelaytoathirdpartyundera‘passthrough’arrangement;or

` CSVhastransferreditsrightstoreceivecashflowsfromtheassetandeither:

` hastransferredsubstantiallyalltherisksandrewardsoftheasset;or

` hasneithertransferrednorretainedsubstantiallyalltherisksandrewardsoftheasset,buthastransferredcontroloftheasset.

WhereCSVhasneithertransferrednorretainedsubstantiallyalltherisksandrewardsortransferredcontrol,theassetisrecognisedtotheextentofCSV’scontinuinginvolvementintheasset.

DERECOGNITION OF FINANCIAL LIABILITIE S

Afinancialliabilityisderecognisedwhentheobligationundertheliabilityisdischarged,cancelledorexpires.

Whenanexistingfinancialliabilityisreplacedbyanotherfromthesamelenderonsubstantiallydifferentterms,orthetermsofanexistingliabilityaresubstantiallymodified,suchanexchangeormodificationistreatedasaderecognitionoftheoriginalliabilityandtherecognitionofanewliability.Thedifferenceintherespectivecarryingamountsisrecognisedasan‘othereconomicflow’inthecomprehensiveoperatingstatement.

RECL A SSIFICATION OF FINANCIAL INSTRUMENTS

Subsequenttoinitialrecognitionreclassificationoffinancialliabilitiesisnotpermitted.Financialassetsarerequiredtobereclassifiedbetweenfairvaluethroughnetresult,fairvaluethroughothercomprehensiveincomeandamortisedcostwhenandonlywhenCSV’businessmodelformanagingitsfinancialassetshaschangessuchthatitspreviousmodelwouldnolongerapply.

However,CSVisgenerallyunabletochangeitsbusinessmodelbecauseitisdeterminedbythePerformanceManagementFramework(PMF)andallVictoriangovernmentdepartmentsarerequiredtoapplythePMFundertheStandingDirectionsoftheAssistantTreasurer2018.

Ifunderrarecircumstancesanassetisreclassified,thereclassificationisappliedprospectivelyfromthereclassificationdateandpreviouslyrecognisedgains,lossesorinterestshouldnotberestated.Iftheassetisreclassifiedtofairvalue,thefairvalueshouldbedeterminedatthereclassificationdateandanygainorlossarisingfromadifferencebetweenthepreviouscarryingamountandfairvalueisrecognisedinnetresult.


8.1.1 FINANCIAL INSTRUMENTS: CATEGORISATION

Category2020

$’0002019

$’000

CONTRACTUAL FINANCIAL ASSETS

CashanddepositsCashanddeposits/(overdrawn) (1,288) (3,031)

FundsheldinTrust 21,176 20,930

Total contractual cash and deposits 19,888 17,899

Receivable FinancialassetsatamortisedcostOtherreceivables 5,991 10,354

Total contractual financial assets 25,879 28,252

CONTRACTUAL FINANCIAL LIABILITIES

Financialliabilitiesatamortisedcost

Payable

Tradecreditorsandotherpayables 32,142 33,146

Accruedcapitalworks 13,338 5,921

Salaryandwages 11,730 7,512

Borrowings

PPPrelatedRightofUseleaseliabilities 30,701 44,808

Non-PPPrelatedRightofUseleaseliabilities 88,521 10,109

Total contractual financial liabilities 176,432 101,497

8.1.2 FINANCIAL INSTRUMENTS: NET HOLDING GAIN/(LOSS) ON FINANCIAL INSTRUMENTS BY CATEGORY

2020 Total expense

$'000

2019 Total expense

$'000

FINANCIAL LIABILITIES AT AMORTISED COST

ContractualfinancialliabilitiesunderthePPParrangementfortheCountyCourtFacility (4,515) (4,753)

ContractualfinancialliabilitiesforVicFleet (293) (231)

(4,809) (4,983)


8.1.3 FINANCIAL RISK MANAGEMENT OBJECTIVES AND POLICIES

Asawhole,CSV’sfinancialriskmanagementprogramseekstomanagetheserisksandtheassociatedvolatilityofitsfinancialperformance.

Detailsofthesignificantaccountingpoliciesandmethodsadopted,includingthecriteriaforrecognition,thebasisofmeasurement,andthebasisonwhichincomeandexpensesarerecognised,withrespecttoeachclassoffinancialasset,financialliabilityandequityinstrumentabovearedisclosedinNote8.3tothefinancialstatements.

ThemainpurposeinholdingfinancialinstrumentsistoprudentiallymanageCSV’sfinancialriskswithinthegovernmentpolicyparameters.

CSVmainfinancialrisksincludecreditriskandliquidityrisk.CSVmanagesthesefinancialrisksinaccordancewithitsfinancialriskmanagementpolicy.

CSVusesdifferentmethodstomeasureandmanagethedifferentriskstowhichitisexposed.PrimaryresponsibilityfortheidentificationandmanagementoffinancialrisksrestswithCSV’sFinancePortfolioCommittee.

FINANCIAL INSTRUMENTS: CREDIT RISK

Creditriskreferstothepossibilitythatadebtorwilldefaultonitsfinancialobligationsasandwhentheyfalldue.CSV’sexposuretocreditriskarisesfromthepotentialdefaultofacounterpartyontheircontractualobligationsresultinginfinanciallosstoCSV.Creditriskismeasuredatfairvalueandismonitoredonaregularbasis.

CreditriskassociatedwithCSV’scontractualfinancialassetsisminimalasitsmaindebtoristheVictorianGovernment.FordebtorsotherthantheGovernment,CSVmonitorsoutstandingdebtorsonamonthlybasis.

Inaddition,CSVdoesnotengageinhedgingforitscontractualfinancialassetsandmainlyobtainscontractualfinancialassetsthatareonfixedinterest,exceptforcashanddeposits,whicharemainlycashatbank.

ProvisionofimpairmentforcontractualfinancialassetsisrecognisedwhenthereisobjectiveevidencethatCSVwillnotbeabletocollectareceivable.Objectiveevidenceincludesfinancialdifficultiesofthedebtor,defaultpayments,debtsthataremorethan60daysoverdue,andchangesindebtorcreditratings.At30June2020CSV’scontractualfinancialassetsareneitherpastduenorimpaired.

Contractfinancialassetsarewrittenoffagainstthecarryingamountwhenthereisnoreasonableexpectationofrecovery.Baddebtwrittenoffbymutualconsentisclassifiedasatransactionexpense.Baddebtwrittenofffollowingaunilateraldecisionisrecognisedasothereconomicflowsinthenetresult.

Exceptasotherwisedetailedinthefollowingtable,thecarryingamountofcontractualfinancialassetsrecordedinthefinancialstatements,netofanyallowancesforlosses,representsCSV’smaximumexposuretocreditriskwithouttakingaccountofthevalueofanycollateralobtained.

TherehasbeennomaterialchangetoCSV’screditriskprofilein2019-20.

FINANCIAL RISKS

CREDIT RISK LIQUIDITY RISK


CREDIT QUALITY OF FINANCIAL ASSETS

2020 Financial institution

(triple-A credit

rating)$’000

Government agencies (triple-A

credit rating)

$’000

Government agencies (triple-B

credit rating)

$’000

Other (min

triple-B credit

rating)$’000

Total$’000

FINANCIAL ASSETS

Financial assets with loss allowance measured at 12-month expected credit loss

Cashanddeposits (1,288) 21,176 0 0 19,888

Statutoryreceivables(withnoimpairmentlossrecognised) 0 128,715 0 0 128,715

Financial assets with loss allowance measured at lifetime expected credit loss:

Contractualreceivablesapplyingthesimplifiedapproachforimpairment 0 3,272 134 2,640 6,046

Total financial assets (1,288) 153,163 134 2,640 154,649

2019 Financial institution

(triple-A credit

rating)$’000

Government agencies (triple-A

credit rating)

$’000

Government agencies (triple-B

credit rating)

$’000

Other (min

triple-B credit

rating)$’000

Total$’000

FINANCIAL ASSETS

Financial assets with loss allowance measured at 12-month expected credit loss

Cashanddeposits (3,031) 20,930 0 0 17,898

Statutoryreceivables(withnoimpairmentlossrecognised) 0 89,571 0 0 89,571

Financial assets with loss allowance measured at lifetime expected credit loss:

Contractualreceivablesapplyingthesimplifiedapproachforimpairment 0 10,189 216 195 10,600

Total financial assets (3,031) 120,690 216 195 118,069


IMPAIRMENT OF FINANCIAL A SSE TS UNDER A A SB 9

CSVrecordsanallowanceforexpectedcreditlossfortherelevantfinancialinstrumentsapplyingAASB9’sExpectedCreditLossapproach.SubjecttoAASB9impairmentassessmentincludeCSV’scontractualreceivables,statutoryreceivablesanditsinvestmentindebtinstruments.

EquityinstrumentsarenotsubjecttoimpairmentunderAASB9.OtherfinancialassetsmandatorilymeasuredordesignatedatfairvaluethroughnetresultarenotsubjecttoimpairmentassessmentunderAASB9.WhilecashandcashequivalentsarealsosubjecttotheimpairmentrequirementsofAASB9,theidentifiedimpairmentlosswasimmaterial.

CONTR ACTUAL RECEIVABLE S AT AMORTISED COST

CSVappliesAASB9’ssimplifiedapproachforallcontractualreceivablestomeasureexpectedcreditlossesusingalifetimeexpectedlossallowancebasedontheassumptionsaboutriskofdefaultandexpectedlossrates.CSVhasgroupedcontractualreceivablesonsharedcreditriskcharacteristicsanddayspastdueandselecttheexpectedcreditlossratebasedonCSV’spasthistory,existingmarketconditions,aswellasforwardlookingestimatesattheendofthefinancialyear.

Onthisbasis,CSVdeterminestheopeninglossallowanceoninitialapplicationdateofAASB9andtheclosinglossallowanceatendofthefinancialyearasfollows:

30 June 2020Current

1% $’000

Less than 1 month

1% $’000

1–3 months

1% $’000

3 months –1 year

1% $’000

1–5 years

1% $’000

Total $’000

Expected loss rate

Grosscarryingamountofcontractualreceivables 3,242 216 243 1,627 717 6,046

Loss allowance 19 2 2 22 10 55

30 June 2019Current

0% $’000

Less than 1 month

0% $’000

1–3 months

0% $’000

3 months –1 year

6% $’000

1–5 years

11% $’000

Total $’000

Expected loss rate

Grosscarryingamountofcontractualreceivables 3,925 1,983 758 3,715 219 10,600

Loss allowance 0 0 0 223 23 246

Reconciliationofthemovementinthelossallowanceforcontractualreceivablesisshownasfollows:

2020 $’000

2019 $’000

Balance at beginning of the year (246) (627)

OpeningretainedearningsadjustmentonadoptionofAASB9 0 0

Opening Loss Allowance (246) (627)

Increaseinprovisionrecognisedinthenetresult

Reversalofunusedprovisionrecognisedinthenetresult 191 381

Balance at end of the year (55) (246)


Creditlossallowanceisclassifiedasothereconomicflowsinthenetresult.Contractualreceivablesarewrittenoffwhenthereisnoreasonableexpectationofrecoveryandimpairmentlossesareclassifiedasatransactionexpense.Subsequentrecoveriesofamountspreviouslywrittenoffarecreditedagainstthesamelineitem.

Inprioryears,aprovisionfordoubtfuldebtsisrecognisedwhenthereisobjectiveevidencethatthedebtsmaynotbecollectedandbaddebtsarewrittenoffwhenidentified.Aprovisionismadeforestimatedirrecoverableamountsfromthesaleofgoodswhenthereisobjectiveevidencethatanindividualreceivableisimpaired.Baddebtsconsideredaswrittenoffbymutualconsent.

STATUTORY RECEIVABLE S AT AMORTISED COST

CSV’snon-contractualreceivablesarisingfromstatutoryrequirementsarenotfinancialinstruments.However,theyareneverthelessrecognisedandmeasuredinaccordancewithAASB9requirementsasifthosereceivablesarefinancialinstruments.

Statutoryreceivablesareconsideredtohavelowcreditrisk,takingintoaccountthecounterparty’screditrating,riskofdefaultandcapacitytomeetcontractualcashflowobligationsinthenearterm.Astheresult,thelossallowancerecognisedforthesefinancialassetsduringtheperiodwaslimitedto12monthsexpectedlosses.Nolossallowancerecognisedat30June2018underAASB139.NoadditionallossallowancerequiredupontransitionintoAASB9on1July2018.

FINANCIAL INSTRUMENTS: LIQUIDIT Y RISK

Liquidityriskarisesfrombeingunabletomeetfinancialobligationsastheyfalldue.CSVoperatesundertheGovernmentfairpaymentspolicyofsettlingfinancialobligationswithin30daysandintheeventofadispute,makingpaymentswithin30daysfromthedateofresolution.

CSVisexposedtoliquidityriskmainlythroughthefinancialliabilitiesasdisclosedinthefaceofthebalancesheetandtheamountsrelatedtofinancialguarantees.CSVmanagesitsliquidityriskby:

` closemonitoringofitsshort-termandlong-termborrowingsbyseniormanagement,includingmonthlyreviewsoncurrentandfutureborrowinglevelsandrequirements;

` maintaininganadequatelevelofuncommittedfundsthatcanbedrawnatshortnoticetomeetitsshort-termobligations;

` holdinginvestmentsandothercontractualfinancialassetsthatarereadilytradeableinthefinancialmarkets;

` carefulmaturityplanningofitsfinancialobligationsbasedonforecastsoffuturecashflows;and

` ahighcreditratingfortheStateofVictoria(Moody’sInvestorServicesandStandard&Poor’striple-A,whichassistsinaccessingdebtmarketatalowerinterestrate).

CSV’sexposuretoliquidityriskisdeemedinsignificantbasedonpriorperiods’dataandcurrentassessmentofrisk.Cashforunexpectedeventsisgenerallysourcedfromliquidationofavailable-for-salefinancialinvestments.


8.2 CONTINGENT A SSETS AND CONTINGENT LIABILITIES

Contingentassetsandcontingentliabilitiesarenotrecognisedinthebalancesheetbutaredisclosedand,ifquantifiable,aremeasuredatnominalvalue.

ContingentassetsandliabilitiesarepresentedinclusiveofGSTreceivableorpayablerespectively.

QUANTIFIABLE CONTINGENT LIABILITIE S ( ARISING FROM OUTSIDE OF GOV ERNMENT)

CONTINGENT LIABILITIES

Contingentliabilitiesare:

` possibleobligationsthatarisefrompastevents,theexistenceofwhichwillbeconfirmedonlybytheoccurrenceornon-occurrenceofoneormoreuncertainfutureeventsnotwhollywithinthecontroloftheentity;or

` presentobligationsthatarisefrompasteventsbutarenotrecognisedbecause:

» itisnotprobablethatanoutflowofresourcesembodyingeconomicbenefitswillberequiredtosettletheobligations;or

» theamountoftheobligationscannotbemeasuredwithsufficientreliability.

Contingentliabilitiesarealsoclassifiedaseitherquantifiableornon-quantifiable.

2020 $'000

2019 $'000

CONTINGENT LIABILITIES

Liabilitiespendingtheoutcomeoflegalaction 595 250

Remediationofcombustiblealuminiumcompositepanels 1,500 7,020

Makegoodrequirementsunderleasesofpremises 3,915 3,353

Total contingent liabilities 6,010 10,623

CSVhasreceivedinformationfromDepartmentofEnvironment,Land,WaterandPlanning(DELWP)regardingtheriskarisingfromtheuseofcombustiblealuminiumcompositepanelsinsevenCSVownedbuildings.During2019-20auditsofthesebuildingdeterminedthatthemajoritywereoflowriskandremovedfromtheprogramforrectification.Thecurrentestimatedcostofremediation($1.5m),whichisbasedonthatinformation,mayincreaseordecreaseasthenatureandextentofremediationisdetermined.CSVexpectsfundingwillbeprovidedtomeetthecostofremediation.Thisfundinghasnotbeenreflectedintheestimatedcostofremediation.

CSV’s‘makegood’obligationsunderleasesofpremisescomprise:

i. Theremovalofleaseholdimprovementsandthereturnofthepremisestoa“warmshell”statewhichmightrequiretheinstallationofnewcarpet,repairofceilingsandreinstatingair-conditioner.CSVhasrecognisedamakegoodprovisionof$0.16million(2019:$0.34million)ontheBalanceSheetinrespectofthesecosts.

ii. Therepairofanydamage(otherthandamageattributedtofairwearandtear)andtheremovalofanychattelsandotherlooseitemsfromthetenancy.Theseobligationswillonlybeconfirmedonterminationoftheleaseandfollowingnegotiationswiththelessor.Thequantifiedcontingentliabilityof$3.90million(2019:$3.35million)istheestimatedmaximumamountCSVmightincurinmeetingthoseobligations.

Contingentliabilitiesarealsoclassifiedaseitherquantifiableornon-quantifiable.

NON-QUANTIFIABLE CONTINGENT LIABILITIE S

CSVhasnonon-quantifiablecontingentliabilitiesarisingatthistimefrom:

` indemnitiesprovidedinrelationtotransactions,includingfinancialarrangementsandconsultancyservices,aswellasfordirectorsandadministrators;

` performanceguarantees,warranties,lettersofcomfortandthelike;

` deedsinrespectofcertainobligations;and

` unclaimedmonies,whichmaybesubjecttofutureclaimsbythegeneralpublicagainsttheState.


8.3 FAIR VALUE DETERMINATION

SIGNIFICANT JUDGEMENT: FAIR VALUE ME A SUREMENTS OF A SSE TS AND LIABILITIE S

Fairvaluedeterminationrequiresjudgementandtheuseofassumptions.Thissectiondisclosesthemostsignificantassumptionsusedindeterminingfairvalues.ChangestoassumptionscouldhaveamaterialimpactontheresultsandfinancialpositionofCSV.

ThissectionsetsoutinformationonhowCSVdeterminedfairvalueforfinancialreportingpurposes.Fairvalueisthepricethatwouldbereceivedtosellanassetorpaidtotransferaliabilityinanorderlytransactionbetweenmarketparticipantsatthemeasurementdate.

Thefollowingassetsandliabilitiesarecarriedatfairvalue:

` Financialassetsandliabilitiesatfairvaluethroughoperatingresult;

` Availableforsalefinancialassets;and

` Land,buildings,plantandequipment.

CSVdeterminesthepoliciesandproceduresfordeterminingfairvaluesforbothfinancialandnon-financialassetsandliabilitiesasrequired.

FAIR VALUE HIER ARCH Y

Indeterminingfairvalues,anumberofinputsareused.Toincreaseconsistencyandcomparabilityinthefinancialstatements,theseinputsarecategorisedintothreelevels,alsoknownasthefairvaluehierarchy.Thelevelsareasfollows:

` Level1–Quoted(unadjusted)marketpricesinactivemarketsforidenticalassetsorliabilities;

` Level2–Valuationtechniquesforwhichthelowestlevelinputthatissignificanttothefairvaluemeasurementisdirectlyorindirectlyobservable;and

` Level3–Valuationtechniquesforwhichthelowestlevelinputthatissignificanttothefairvaluemeasurementisunobservable.

CSVdetermineswhethertransfershaveoccurredbetweenlevelsinthehierarchybyreassessingcategorisation(basedonthelowestlevelinputthatissignificanttothefairvaluemeasurementasawhole)attheendofeachreportingperiod.

HOW THIS SECTION IS STRUCTURED

Forthoseassetsandliabilitiesforwhichfairvaluesaredetermined,thefollowingdisclosuresareprovided:

` carryingamountandthefairvalue(whichwouldbethesameforthoseassetsmeasuredatfairvalue);

` thelevelofthefairvaluehierarchythatwasusedtodeterminethefairvalue;and

` inrespectofthoseassetsandliabilitiessubjecttofairvaluedeterminationusingLevel3inputs:

» areconciliationofthemovementsinfairvaluesfromthebeginningoftheyeartotheend;and

» detailsofsignificantunobservableinputsusedinthefairvaluedetermination.

8.3.1 FAIR VALUE DETERMINATION OF FINANCIAL ASSETS AND LIABILITIES

ThefairvaluesandnetfairvaluesoffinancialassetsandliabilitiesaredeterminedusingLevel3valuationtechniques.Thisinvolvesthedeterminationoffairvalueinaccordancewithgenerallyacceptedaccountingpricingmodelsbasedondiscountedcashflowanalysisusingunobservablemarketinputs.

CSVcurrentlyholdsarangeoffinancialinstrumentsthatarerecordedinthefinancialstatementswherethecarryingamountsareareasonableapproximationoffairvalue,eitherduetotheirshort-termnatureorwiththeexpectationthattheywillbepaidinfullbytheendofthe2019-20reportingperiod.


8.3.2 FAIR VALUE DETERMINATION: NON-FINANCIAL PHYSICAL ASSETS

FAIR VALUE ME A SUREMENT HIER ARCH Y

CSVhasappliedLevel3ofthefairvaluehierarchytodeterminethenon-financialphysicalassetsvaluationwhichisconsistentwiththepreviousfinancialyear.Therewerenochangesinvaluationtechniquesthroughouttheperiodto30June2020.Forallassetsmeasuredatfairvalue,thecurrentuseisconsideredthehighestandbestuse.MovementsinLevel3fairvaluesofnon-financialphysicalassetsareshownatNote5.1.3.

ThereareuncertaintiesinherentinthelandandbuildingindicesintheCOVID-19environment.TheyarehoweverthebestavailableindicatorofthechangeinvalueinCSVassetsatJune30,2020.Whilstitisdifficulttoestimatewithadegreeofcertaintytheresultingimpact(financialandoperational)thepandemicwillhaveonCSV,itsoperations,itsfutureresultsandfinancialposition,CSVdoesnotexpectpandemictohaveamaterialimpactontheCSV’sfutureresultsandfinancialposition.AsrequiredbyFRD103H,CSVwillbeundertakingits5-yearlyindependentvaluationofnon-financialphysicalassetsduring2020-21whichwillassistintheidentificationofanyimpactsonCSV’sfutureresultsandfinancialposition.

Specialised land and specialised buildings:Themarketapproachisausedforspecialisedland,althoughitisadjustedforthecommunityserviceobligation(CSO)toreflectthespecialisednatureofthelandbeingvalued.

TheCSOadjustmentisareflectionofthevaluer’sassessmentoftheimpactofrestrictionsassociatedwithanassettotheextentthatisalsoequallyapplicabletomarketparticipants.Thisapproachisinlightofthehighestandbestuseconsiderationrequiredforfairvaluemeasurement,andtakesintoaccounttheuseoftheassetthatisphysicallypossible,legallypermissible,andfinanciallyfeasible.AsadjustmentsofCSOareconsideredsignificantunobservableinputs,specialisedlandwouldbeclassifiedasLevel3assets.

ForthemajorityofCSV’sspecialisedbuildings,thecurrentreplacementcostmethodisused,adjustingfortheassociateddepreciation.Asdepreciationadjustmentsareconsideredsignificant,unobservableinputsinnature,specialisedbuildingsareclassifiedasLevel3fairvaluemeasurements.

AnindependentvaluationofCSV’sspecialisedlandandspecialisedbuildingswasperformedbytheValuer-GeneralofVictoriausingthemarketapproachadjustedforCSOeffective30June2016.

InaccordancewithFRD103H,CSVhasreviewedthedifferencebetweenthefairvalueandthecarryingamountofallcategoriesofassetsbasedontheValuer-GeneralofVictoriaindicesfor2019-20(asat30June2020).Sincethelastmanagerialrevaluation,thereviewindicatesthatduringtheyearended30June2020:

` Themovementinthefairvalueofspecialisedbuildingsisnotmaterialandthereforenoadjustmenttotheassetscarryingvalueisrequired.

` Themovementinthefairvalueofspecialisedlandismaterialandthereforeanadjustmenttotheassetscarryingvalueisrequired.Anincreaseinthephysicalassetsrevaluationsurplusof$44.3millionhasthereforebeenrecognised.


Leasehold buildingsarevaluedusingthecurrentreplacementvalue.AnIndependentvaluationofCSVleaseholdbuildingswasperformedbytheValuer-GeneralVictoriaasat30June2016.InlightoftheCOVID-19PandemicCSVrevieweditsleasesanddeterminedthatnorentreliefhasbeenreceivedorisexpected.

Heritage assets:CSVholdsheritageassetswithacarryingvalueof$104.7million.Theseheritageassetscanneitherbemodifiedornotdisposedofwithoutformalministerialapproval.Heritageassetsarevaluedusingthecurrentreplacementcostmethod.Thiscostgenerallyrepresentsthereplacementcostofthebuilding/componentafterapplyingdepreciationratesonausefullifebasis.However,forsomeheritageandiconicassets,thecostmaybethereproductioncostratherthanthereplacementcostifthoseassets’servicepotentialcouldonlybereplacedbyreproducingthemwiththesamematerials.

Whereithasnotbeenpossibletoexaminehiddenworkssuchasstructuralframesandfloors,theuseofreasonablematerialsandmethodsofconstructionhavebeenassumedbearinginmindtheageandnatureofthebuilding.Theestimatedcostofreconstructionincludingstructureservicesandfinishes,alsofactorsinanyheritageclassificationsasapplicable.

AnindependentvaluationofCSV’sheritageassetswasperformedbytheValuer-GeneralofVictoria.Thevaluationwasperformedbasedonthedepreciatedreplacementcostoftheassets.Theeffectivedateofthevaluationis30June2016.

Vehiclesarevaluedusingthecurrentreplacementcostmethod.CSVacquiresnewvehiclesandattimesdisposesofthembeforetheendoftheireconomiclife.Theprocessofacquisition,useanddisposalinthemarketismanagedbyVicFleetwhosetrelevantdepreciationratesduringusetoreflecttheutilisationofthevehicles.

Plant and equipmentisheldatfairvalue.Whenplantandequipmentisspecialisedinuse,suchthatitisrarelysoldotherthanaspartofagoingconcern,fairvalueisdeterminedusingthecurrentreplacementcostmethod.

Therewerenochangesinvaluationtechniquesthroughouttheperiodto30June2020.


NO T E 9. O T HER DIS CLO SURES

INTRODUCTION

Thissectionincludesadditionalmaterialdisclosuresrequiredbyaccountingstandardsorotherwise,fortheunderstandingofthisfinancialreport.

STRUCTURE

9.1 Othereconomicflowsincludedinnetresult

9.2 Ex-gratiaexpenses

9.3 Responsiblepersons

9.4 Remunerationofexecutives

9.5 Keymanagementpersonnel

9.6 Remunerationofauditors

9.7 Subsequentevents

9.8 Otheraccountingpolicies

9.9 Changeinaccountingpolicies

9.10 Australianaccountingstandardsissuedthatarenotyeteffective

9.1 OTHER ECONOMIC FLOWS INCLUDED IN NET RESULT

Othereconomicflowsarechangesinthevolumeorvalueofanassetorliabilitythatdonotresultfromtransactions.Othergains/(losses)fromothereconomicflowsincludethegainsorlossesfromtherevaluationofthepresentvalueofthelongserviceleaveliabilityduetochangesinthebondinterestrates.

2020 $'000

2019 $'000

(a) Net gain/(loss) on non-financial assets

Netgain/(loss)ondisposalofproperty,plantandequipment 346 468

Total net gain/(loss) on non-financial assets 346 468

(b) Net gain/(loss) on financial instruments

Baddebtswrittenoff 190 381

Total net gain/(loss) on financial instruments 190 381

(c) Other gains/(losses) from other economic flows

Netgain/(loss)arisingfromrevaluationoflongserviceleaveliability(i) (1,916) (7,663)

Total other gains/(losses) from other economic flows (1,916) (7,663)

(i) Revaluation of the long service leave liability includes wages inflation decrease from 4.33% (2019) to 4.25% (2020) and lower discount rate from 1.32% (2019) to 0.872% (2020) contributing to an increase to the present value of long service leave liabilities.


9.2 E X-GR ATIA E XPENSES

2020 $’000

2019 $’000

Compensationforbreachofprivacy 6 0

Total ex-gratia expenses(i) 6 0

(i) Expenditure for security upgrade on an individual’s residence.

9.3 RESPONSIBLE PERSONS

InaccordancewiththeMinisterialDirectionsissuedbytheAssistantTreasurerundertheFinancial Management Act 1994,thefollowingdisclosuresaremaderegardingresponsiblepersonsforthereportingperiod.

NAME S

ThepersonswhoheldthepositionsofMinisterandAccountableOfficerinCSVareasfollows:

RE SPONSIBLE MINISTER PERIOD

Attorney-General,TheHon.JillHennessyMP 1July2019to30June2020

ActingAttorney-General,TheHon.BenjaminCarrollMP 1July2019to5July2019

ActingAttorney-General,TheHon.GavinJenningsMP 6July2019to13July2019

ActingAttorney-General,TheHon.BenjaminCarrollMP 14July2019to20July2019

ActingAttorney-General,TheHon.GavinJenningsMP 1August2019to10August2019

ActingAttorney-General,TheHon.BenjaminCarrollMP 20December2019to12January2020

ACCOUNTABLE OFFICER PERIOD

ChiefExecutiveOfficer,LouiseAnderson 1July2019to30June2020

ActingChiefExecutiveOfficer,FionaChamberlain 3July2019to26July2019

GOV ERNING BODY

ThepersonswhoheldmembershipoftheCourtsCouncilinCSVareasfollows:

MEMBER NAME S PERIOD

TheHonourableChiefJusticeMaryAnneFerguson,Chair 1July2019to30June2020

TheHonourableChiefJudgePeterKidd 1July2019to30June2020

HisHonourChiefMagistratePeterLauritsen 1July2019to16November2019

HerHonourChiefMagistrateLisaHannan 17November2019to30June2020

HerHonourJudgeAmandaChambers 1July2019to30June2020

ActingStateCoronerCaitlinEnglish 1July2019to30November2019

HisHonourStateCoronerJudgeJohnCain 1December2019to30June2020

TheHonourableJusticeMichelleQuigley 1July2019to30June2020

DrPhilipWilliamsAM 1July2019to30June2020


REMUNER ATION: ACCOUNTABLE OFFICER

2020 No.

2019 No.

$20,000-$89,999 1 0

$90,000-$99,999 0 1

$220,000-$229,999 0 1

$230,000-$239,999 0 1

$240,000-$299,999 0 0

$300,000-$349,999 0 0

$350,000-$399,999 1 0

2 3

Remunerationreceivedorreceivablebytheindependentmemberduringthereportingperiodwasintherange:$20,000-$29,999($20,000-$29,999in2018-19).

JudicialmembersoftheresponsiblebodyareremuneratedundertheJudicial Entitlements Act 2015asholdersofjudicialpositionsdefinedbytherespectiveactsoflawthatcreatetheVictorianjudiciary,namelytheConstitution Act 1975s82,CountyCourtAct1958s.10,Magistrates Court Actshc.1Pt1cl.10andVictorian Civil and Administrative Tribunal Act. 1998 s.17AA.TheJudicialmembersreceivenoadditionalremunerationintheircapacityasmembersoftheCourtsCouncil.

9.4 REMUNER ATION OF E XECUTIVES

Thenumberofexecutiveofficers,otherthanMinisters,membersoftheGoverningBodyandAccountableOfficer,andtheirtotalremunerationduringthereportingperiodareshowninthetablebelow.Totalannualisedemployeeequivalentsprovidesameasureoffulltimeequivalentexecutiveofficersoverthereportingperiod.

Remunerationcomprisesemployeebenefits(asdefinedinAASB119Employee Benefits)inallformsofconsiderationpaid,payableorprovidedbytheentity,oronbehalfoftheentity,inexchangeforservicesrendered.Accordingly,remunerationisdeterminedonanaccrualbasis,andisdisclosedinthefollowingcategories.

Short-termemployeebenefitsincludeamountssuchaswages,salaries,annualleaveorsickleavethatareusuallypaidorpayableonaregularbasis,aswellasnon-monetarybenefitssuchasallowancesandfreeorsubsidisedgoodsorservices.

Post-employmentbenefitsincludepensionsandotherretirementbenefitspaidorpayableonadiscretebasiswhenemploymenthasceased.

Otherlong-termbenefitsincludelongserviceleave,otherlongservicebenefitordeferredcompensation.

Terminationbenefitsincludeterminationofemploymentpayments,suchasseverancepackages.

REMUNER ATION OF E XECUTIV E OFFICERS

2020 $'000

2019 $'000

Short-termemployeebenefits 4,041 3,349

Post-employmentbenefits 353 288

Otherlong-termbenefits 98 84

Terminationbenefits 333 116

Total remuneration 4,825 3,836

Total number of executives 22 19

Total annualised employee equivalents(i) 15.5 14.0

Note:

(i) Annualised employee equivalent is calculated by dividing the total number of days that an employee is engaged to work during the week by the total number of full-time working days per week.


9.5 KE Y MANAGEMENT PERSONNEL

KeymanagementpersonnelofCSVincludestheresponsibleMinister,membersoftheGoverningBody,andAccountableOfficer.CSVhasdeterminedthattheexecutiveofficers,whoseremunerationisreportedinNote9.3,arenotKeyManagementPersonnel.

Remunerationofkeymanagementpersonnelcomprisesemployeebenefits(asdefinedinAASB119Employee Benefits)inallformsofconsiderationpaid,payableorprovidedbytheentity,oronbehalfoftheentity,inexchangeforservicesrendered.Accordingly,remunerationisdeterminedonanaccrualbasis,andisdisclosedinthefollowingcategories.

Short-termemployeebenefitsincludeamountssuchaswages,salaries,annualleaveorsickleavethatareusuallypaidorpayableonaregularbasis,aswellasnon-monetarybenefitssuchasallowancesandfreeorsubsidisedgoodsorservices.

Post-employmentbenefitsincludepensionsandotherretirementbenefitspaidorpayableonadiscretebasiswhenemploymenthasceased.

Otherlong-termbenefitsincludelongserviceleave,otherlongservicebenefitsordeferredcompensation.

Terminationbenefitsincludeterminationofemploymentpayments,suchasseverancepackages.

TheremunerationdetailedbelowexcludesthesalariesandbenefitstheMinisterreceives.TheMinister’sremunerationandallowancesissetbytheParliamentary Salaries and Superannuation Act 1968 andisreportedwithintheDepartmentofParliamentaryServices’FinancialReport.

TheremunerationoftheJudicialmembersoftheresponsiblebodyreceiveintheircapacityasholdersofjudicialpositionsisalsoexcluded.TheJudicialmembersreceivenoadditionalremunerationintheircapacityasmembersoftheCourtsCouncil.

REMUNER ATION OF KE Y M ANAGEMENT PERSONNEL

2020 $'000

2019 $'000

Short-termemployeebenefits 413 529

Post-employmentbenefits 24 37

Otherlong-termbenefits 10 12

Total remuneration 446 578

9.5.1 TRANSACTIONS AND BALANCES WITH KEY MANAGEMENT PERSONNEL

GiventhebreadthanddepthofStategovernmentactivities,relatedpartiestransactwiththeVictorianpublicsectorinamannerconsistentwithothermembersofthepublice.g.stampdutyandothergovernmentfeesandcharges.FurtheremploymentofprocesseswithintheVictorianpublicsectoroccurontermsandconditionsconsistentwiththePublic Administration Act 2004andCodesofConductand

StandardsissuedbytheVictorianPublicSectorCommission.ProcurementprocessesoccurontermsandconditionsconsistentwiththeVictorianGovernmentPurchasingBoardrequirements.

Duringperiod1July2019to30June2020,therewerenorelatedpartytransactionsthatinvolvedkeymanagementpersonnelofCSV.


9.6 REMUNER ATION OF AUDITORS

2020 $'000

2019 $'000

VICTORIAN AUDITOR-GENERAL'S OFFICE

Auditofthefinancialstatements 215 205

Total remuneration of auditors 215 205

9.7 SUBSEQUENT E VENTS

NegotiationsareunderwaytoconsiderexercisingtheoptiontoextendtheG4Ssecuritycontractforafurther2yearsatanestimatedcostof$29Million.

TheCOVID-19pandemiccreatedsignificantuncertaintyuptoOctober27,2020,whenrestrictionseffectivelyeased.Thereisapossibilitythatrestrictionsmaybere-introducedduetofutureoutbreaks,whichmayinturnimpactthefutureoperations,financialresultsandfinancialpositionofCSV.However,asatthedateofthisreport,CSVisnotawareofanysignificantimpactofthepandemiconthe30June2020annualfinancialstatements.

9.8 OTHER ACCOUNTING POLICIES

9.8.1 CONTRIBUTIONS BY OWNERS

ConsistentwiththerequirementsofAASB1004Contributions,contributionsbyowners(thatis,contributedcapitalanditsrepayment)aretreatedasequitytransactionsand,therefore,donotformpartoftheincomeandexpensesofCSV.

Additionstonetassetsthathavebeendesignatedascontributionsbyownersarerecognisedascontributedcapital.Othertransfersthatareinthenatureofcontributionstoordistributionsbyownershavealsobeendesignatedascontributionsbyowners.


9.9 CHANGE IN ACCOUNTING POLICIES

9.9.1 LEASES

ThisnoteexplainstheimpactoftheadoptionofAASB16LeasesonCSV’sfinancialstatements.

CSVhasappliedAASB16withadateofinitialapplicationof1July2019.

CSVhaselectedtoapplyAASB16usingthemodifiedretrospectiveapproach,asperthetransitionalprovisionsofAASB16forallleasesforwhichitisalessee.Thecumulativeeffectofinitialapplicationisrecognisedinretainedearningsasat1July2019.Accordingly,thecomparativeinformationpresentedisnotrestatedandisreportedunderAASB117andrelatedinterpretations.

Previously,CSVdeterminedatcontractinceptionwhetheranarrangementisorcontainsaleaseunderAASB117andInterpretation4determiningwhetheranarrangementcontainsalease.UnderAASB16,CSVassesseswhetheracontractisorcontainsaleasebasedonthedefinitionofaleaseasexplainedinNote7.1.

OntransitiontoAASB16,CSVhaselectedtoapplythepracticalexpedienttograndfathertheassessmentofwhichtransactionsareleases.ItappliedAASB16onlytocontractsthatwerepreviouslyidentifiedasleases.ContractsthatwerenotidentifiedasleasesunderAASB117andInterpretation4werenotreassessedforwhetherthereisalease.Therefore,thedefinitionofaleaseunderAASB16wasappliedtocontractsenteredintoorchangedonorafter1July2019.

Leases classified as operating leases under AASB 117

Asalessee,CSVpreviouslyclassifiedleasesasoperatingorfinanceleasesbasedonitsassessmentofwhethertheleasetransferredsignificantlyalloftherisksandrewardsincidentaltoownershipoftheunderlyingassettoCSV.UnderAASB16,CSVrecognisesright-of-useassetsandleaseliabilitiesforallleasesexceptwhereexemptionisavailedinrespectofshort-termandlowvalueleases.

OnadoptionofAASB16,CSVrecognisedleaseliabilitiesinrelationtoleaseswhichhadpreviouslybeenclassifiedasoperatingleasesundertheprinciplesofAASB117.Theseliabilitiesweremeasuredatthepresentvalueoftheremainingleasepayments,discountedusingCSV’sincrementalborrowingrateasof1July2019.

Ontransition,right-of-useassetsaremeasuredattheamountequaltotheleaseliability,adjustedbytheamountofanyprepaidoraccruedleasepaymentsrelatingtothatleaserecognisedonthebalancesheetasat30June2019.

CSVhaselectedtoapplythefollowingpracticalexpedientswhenapplyingAASB16toleasespreviouslyclassifiedasoperatingleasesunderAASB117:

` Appliedasinglediscountratetoaportfolioofleaseswithsimilarcharacteristics;

` Adjustedtheright-of-useassetsbytheamountofAASB137onerouscontractsprovisionimmediatelybeforethedateofinitialapplication,asanalternativetoanimpairmentreview;

` Appliedtheexemptionnottorecogniseright-of-useassetsandliabilitiesforleaseswithlessthan12monthsofleaseterm;

` Excludedinitialdirectcostsfrommeasuringtheright-of-useassetatthedateofinitialapplicationand;

` Usedhindsightwhendeterminingtheleasetermifthecontractcontainsoptionstoextendorterminatethelease.

ForleasesthatwereclassifiedasfinanceleasesunderAASB117,thecarryingamountoftheright-of-useassetandleaseliabilityat1July2019aredeterminedasthecarryingamountoftheleaseassetandleaseliabilityunderAASB117immediatelybeforethatdate.

Impacts on financial statements

OntransitiontoAASB16,CSVrecognised$138.04millionofright-of-useassets(seeNote5.1(a))and$133.3millionofleaseliabilities.

OnadoptionofAASB16,CSVrecognisedleaseliabilitiesinrelationtoleaseswhichhadpreviouslybeenclassifiedasoperatingleasesundertheprinciplesofAASB117.Theseliabilitiesweremeasuredatthepresentvalueoftheremainingleasepayments,discountedusingCSV’sincrementalborrowingrateasof1July2019.Ontransition,right-of-useassetsaremeasuredattheamountequaltotheleaseliability,adjustedbytheamountofanyprepaidoraccruedleasepaymentsrelatingtothatleaserecognisedinthebalancesheetasat30June2019.


1 July 2019 $’000

Total operating lease commitments disclosed at 30 June 2019 56,217

Less:GST(notincludedinleasepaymentsconsideredforleaseliabilityunderAASB16) (5,111)

Total operating lease commitments excluding GST 51,107

Add:ImpactofassessingleasetermconsideredreasonablycertainrenewaloptionsunderAASB16 26,933

Add:ImpactofassessingleasepaymentsfordeterminingleaseliabilityunderAASB16 6,028

Less:Impactofpaymentsfornon-leasecomponentsnotconsideredinmeasurementofleaseliability (342)

83,726

Impactofdiscounting (5,306)

Lease payments discounted using the incremental borrowing rate as at 1 July 2019 78,420

Add:FinanceLeaseLiabilitiespreviouslyrecognisedseparatelyatJune2019 54,917

Lease liabilities recognised as at 1 July 2019 133,337

9.9.3 REVENUE FROM CONTRACTS WITH CUSTOMERS/INCOME OF NOT-FOR-PROFIT ENTITIES

AASB15providesguidanceunderappendixFtoassistnot-for-profit(“NFP”)entitiestodeterminewhetherparticulartransactionsorotherevents,orcomponentsthereof,arewithinscope.Inparticular,identifyingacontractandidentifyingperformanceobligations.IfatransactionisoutsidethescopeofAASB15,therecognitionandmeasurementofincomearisingfromthetransactionisrecognisedunderAASB1058.

AfterconsideringtherequirementsofAASB15andAASB1058,CSVhasdeterminedthatrevenuefromgrantsandparliamentaryappropriationsarenotenforceableanddonothavesufficientlyspecificperformanceobligationsandarethereforerecognisedunderAASB1058.

9.9.4 SERVICE CONCESSION ARRANGEMENTS: GRANTORS

CSVhasreviewedallofitsarrangementstoassesswhetherAASB1059appliesandmadethejudgmentthatnoarrangementsarewithinthescopeofAASB1059duetonooperatorprovidingpublicservicesormanagingatleastsomeofthoseservicesunderitsowndirection.


9.10 AUSTR ALIAN ACCOUNTING STANDARDS ISSUED THAT ARE NOT YET EFFECTIVE

Certainnewandrevisedaccountingstandardshavebeenissuedbutarenoteffectiveforthe2019-20reportingperiod.TheseaccountingstandardshavenotbeenappliedtotheCSVAnnualFinancialStatements.CSVisreviewingitsexistingpoliciesandassessingthepotentialimplicationsoftheseaccountingstandardswhichincludes:

` AASB2018-7 Amendments to Australian Accounting Standards–DefinitionofMaterial

ThisStandardprincipallyamendsAASB101PresentationofFinancialStatementsandAASB108AccountingPolicies,ChangesinAccountingEstimatesandErrors.Itappliestoreportingperiodsbeginningonorafter1January2020withearlierapplicationpermitted.CSVhasnotearlieradoptedtheStandard.

TheamendmentsrefineandclarifythedefinitionofmaterialinAASB101anditsapplicationbyimprovingthewordingandaligningthedefinitionacrossAASBStandardsandotherpublications.TheamendmentsalsoincludesomesupportingrequirementsinAASB101inthedefinitiontogiveitmoreprominenceandclarifytheexplanationaccompanyingthedefinitionofmaterial.

CSVisintheprocessofanalysingtheimpactsofthisStandard.However,itisnotanticipatedtohaveamaterialimpact.

` AASB2020-1Amendments to Australian Accounting Standards–ClassificationofLiabilitiesasCurrentorNon-Current

ThisStandardamendsAASB101toclarifyrequirementsforthepresentationofliabilitiesinthestatementoffinancialpositionascurrentornon-current.Itinitiallyappliedtoannualreportingperiodsbeginningonor

after1January2022withearlierapplicationpermittedhowevertheAASBhasrecentlyissuedED301ClassificationofLiabilitiesasCurrentorNon-Current–DeferralofEffectiveDatewiththeintentiontodefertheapplicationby1yeartoperiodsbeginningonorafter1January2023.TheDepartmentwillnotearlyadoptedtheStandard.

CSVisintheprocessofanalysingtheimpactsofthisStandard.However,itisnotanticipatedtohaveamaterialimpact.

SeveralotheramendingstandardsandAASBinterpretationshavebeenissuedthatapplytofuturereportingperiods,butareconsideredtohavelimitedimpactonCSV’sreporting.

` AASB17Insurance Contracts.

` AASB1060General Purpose Financial Statements – Simplified Disclosures for For-Profit and Not-for-Profit Tier 2 Entities(AppendixC).

` AASB2018-6Amendments to AustralianAccounting Standards – Definition of a Business.

` AASB2019-1Amendments to Australian Accounting Standards – References to the Conceptual Framework.

` AASB2019-3Amendments to Australian Accounting Standards – Interest Rate Benchmark Reform.

` AASB2019-5Amendments to Australian Accounting Standards – Disclosure of the Effect of New IFRS Standards Not Yet Issued in Australia.

` AASB2020-2Amendments to Australian Accounting Standards – Removal of Special Purpose Financial Statements for Certain For-Profit Private Sector Entities.


NO T E 10. C ORREC T ION OF A P RIOR P ERIOD ERRORCSVhasidentifiedonepriorperioderrorinrelationtothedepreciationoftheCountyCourtPublicPrivatePartnershiplease.InaccordancewithAASB108(AccountingPolicies,ChangesinAccountingEstimatesandErrors),CSVisrequiredtocorrectmaterialpriorperioderrorsretrospectivelyinthefirstsetoffinancialstatementsauthorisedforissueaftertheirdiscovery.Theerroroccurredbeforetheearliestpriorperiodpresented,hencetheopeningbalancesofassets,liabilitiesandequityfor2019havebeenrestated.Sections10.1and10.2includetherestatedtablesforthecomprehensiveoperatingstatementandbalancesheetrespectively.

DEPRECIATION OF THE COUNT Y COURT PUBLIC PRIVATE PARTNERSHIP (PPP) A SSE T

Priorto1July2019,thePPPwasaccountedforasafinanceleaseunderAASB117,andtheunderlyingassetwasdepreciatedovertheusefullifeoftheasset,estimatedtobe43years.

UndertherequirementsofAASB117,theassetshouldhavebeendepreciatedovertheshorteroftheleaseterm(20years)andtheasset’susefullife,astherewasnoreasonablecertaintythatCSVwouldobtainownershipoftheleasedassetattheendoftheleaseterm.

Thiserrorhadtheeffectofoverstatingtheopeningbalancesheetbalancesatthebeginningoftheprecedingperiodfor:property,plantandequipmentby$139.8m;accumulatedsurplus/(deficit)by$36.3m;andphysicalassetrevaluationreserveby$103.4m.Thiserroralsohadtheeffectofunderstatingthecomprehensiveoperatingstatementattheendoftheprecedingperiodfordepreciationandamortisationby$8.6m.

Theimpactofrestatementoneachoftheaffectedfinancialstatementlineitemforthepriorperiodsispresentedasfollows:

10.1 IMPACT OF CORRECTION OF AN ERROR ON THE COMPREHENSIVE OPER ATING STATEMENT

For the period ended 30 June

2019 as previously presented.

$’000

Prior period adjustments PPP –

County Court $’000

For the period ended 30 June 2019

(Restated) $’000

Expenses from transactions

Depreciationandamortisation 53,488 8,621 62,109

Total expenses from transactions 53,488 8,621 62,109

Net result from transactions (net operating balance) 10,849 8,621 2,228

Comprehensive result 57,880 8,621 49,258


10.2 IMPACT OF CORRECTION OF AN ERROR ON THE BAL ANCE SHEET

Assets As at 30 June 2018 (as

previously presented)

$’000

Prior period adjustments

PPP – County

Court $’000

As at 1 July 2018

(restated) $’000

As at 30 June 2019 (as

previously presented)

$’000

Prior period adjustments

PPP – County

Court $’000

As at 30 June 2019 (restated)

$’000

Financial assets

Property,plantandequipment 1,066,249 (139,841) 926,408 1,128,160 (148,462) 979,698

Total non-financial assets 1,086,391 (139,841) 946,550 1,158,640 (148,462) 1,010,178

Total assets 1,196,741 (139,841) 1,056,900 1,276,833 (148,462) 1,128,001

Net assets 1,005,384 (139,841) 865,543 1,076,833 (148,462) 928,371

Equity

Accumulatedsurplus/(deficit) 7,717 (36,386) 28,669 11,752 (45,007) (33,255)

Physicalassetrevaluationsurplus 250,137 (103,455) 146,682 303,982 (103,455) 200,527

Net worth 1,005,384 (139,841) 865,543 1,076,833 (148,462) 928,371


NO T E 11. GLO S S A RY OF T ECHNIC A L T ERMS A ND S T Y L E C ON V EN T IONSComprehensiveresultistheamountincludedintheoperatingstatementrepresentingtotalchangeinnetworthotherthantransactionswithownersasowners.

ControlleditemgenerallyreferstothecapacityofCSVtobenefitfromthatiteminthepursuitoftheentity’sobjectivesandtodenyorregulatetheaccessofotherstothatbenefit.

Currentgrantsareamountspayableorreceivableforcurrentpurposesforwhichnoeconomicbenefitsofequalvaluearereceivableorpayableinreturn.

CommunityServiceObligation(CSO)isanallowancemadetoreflectthedifferencebetweenunrestrictedfreeholdlandandassetsheldbythePublicSectorwhichmaybeaffectedbysocialandeconomicrestraints.ThismayarisebecausethelandisCrownlandandinapublicusezoneoritisconsideredaniconicpropertythatwouldbedifficulttosell.

Depreciationisanexpensethatarisesfromtheconsumptionthroughwearortimeofaproducedphysicalorintangibleasset.Thisexpenseisclassifiedasa‘transaction’andsoreducesthe‘netresultfromtransaction’.

Effectiveinterestmethodisthemethodusedtocalculatetheamortisedcostofafinancialassetandofallocatinginterestincomeovertherelevantperiod.Theeffectiveinterestrateistheratethatexactlydiscountsestimatedfuturecashreceiptsthroughtheexpectedlifeofthefinancialassetor,whereappropriate,ashorterperiod.

Employeebenefitsexpensesincludeallcostsrelatedtoemploymentincludingwagesandsalaries,fringebenefitstax,leaveentitlements,redundancypayments,definedbenefitssuperannuationplans,anddefinedcontributionsuperannuationplans.

Ex-gratiaexpensesmeanthevoluntarypaymentofmoneyorothernon-monetarybenefit(e.g.awrite-off)thatisnotmadeeithertoacquiregoods,servicesorotherbenefitsfortheentityortomeetalegalliability,ortosettleorresolveapossiblelegalliabilityorclaimagainsttheentity.

Financialassetisanyassetthatis:

a. cash;

b. anequityinstrumentofanotherentity;

c. acontractualright:

` toreceivecashoranotherfinancialassetfromanotherentity;or

` toexchangefinancialassetsorfinancialliabilitieswithanotherentityunderconditionsthatarepotentiallyfavourabletotheentity;or

d. acontractthatwillormaybesettledintheentity’sownequityinstrumentsandis:

` anon-derivativeforwhichtheentityisormaybeobligedtoreceiveavariablenumberoftheentity’sownequityinstruments;or

` aderivativethatwillormaybesettledotherthanbytheexchangeofafixedamountofcashoranotherfinancialassetforafixednumberoftheentity’sownequityinstruments.

Financialinstrumentisanycontractthatgivesrisetoafinancialassetofoneentityandafinancialliabilityorequityinstrumentofanotherentity.


Financialliabilityisanyliabilitythatis:

a. acontractualobligation:

` todelivercashoranotherfinancialassettoanotherentity;or

` toexchangefinancialassetsorfinancialliabilitieswithanotherentityunderconditionsthatarepotentiallyunfavourabletotheentity;or

b. acontractthatwillormaybesettledintheentity’sownequityinstrumentsandis:

` anonderivativeforwhichtheentityisormaybeobligedtodeliveravariablenumberoftheentity’sownequityinstruments;or

` aderivativethatwillormaybesettledotherthanbytheexchangeofafixedamountofcashoranotherfinancialassetforafixednumberoftheentity’sownequityinstruments.Forthispurpose,theentity’sownequityinstrumentsdonotincludeinstrumentsthatarethemselvescontractsforthefuturereceiptordeliveryoftheentity’sownequityinstruments.

Financialstatementsinthisreportcomprises:

a. abalancesheetasattheendoftheperiod;

b. acomprehensiveoperatingstatementfortheperiod;

c. astatementofchangesinequityfortheperiod;

d. acashflowstatementfortheperiod;

e. notes,comprisingasummaryofsignificantaccountingpoliciesandotherexplanatoryinformation;

f. comparativeinformationinrespectoftheprecedingperiodasspecifiedinparagraph38ofAASB101PresentationofFinancialStatements;and

g. astatementoffinancialpositionasatthebeginningoftheprecedingperiodwhenanentityappliesanaccountingpolicyretrospectivelyormakesaretrospectiverestatementofitemsinitsfinancialstatements,orwhenitreclassifiesitemsinitsfinancialstatementsinaccordancewithparagraphs41ofAASB101.

Grantexpensesandothertransfersaretransactionsinwhichoneunitprovidesgoods,services,assets(orextinguishesaliability)orlabourtoanotherunitwithoutreceivingapproximatelyequalvalueinreturn.Grantscaneitherbeoperatingorcapitalinnature.

Whilegrantstogovernmentsmayresultintheprovisionofsomegoodsorservicestothetransferor,theydonotgivethetransferoraclaimtoreceivedirectlybenefitsofapproximatelyequalvalue.Forthisreason,grantsarereferredtobytheAASBasinvoluntarytransfersandaretermednonreciprocaltransfers.Receiptandsacrificeofapproximatelyequalvaluemayoccur,butonlybycoincidence.Forexample,governmentsarenotobligedtoprovidecommensuratebenefits,intheformofgoodsorservices,toparticulartaxpayersinreturnfortheirtaxes.

Grantscanbepaidasgeneralpurposegrants,whichrefertograntsthatarenotsubjecttoconditionsregardingtheiruse.Alternatively,theymaybepaidasspecificpurposegrants,whicharepaidforaparticularpurposeand/orhaveconditionsattachedregardingtheiruse.

Generalgovernmentsectorcomprisesallgovernmentdepartments,officesandotherbodiesengagedinprovidingservicesfreeofchargeoratpricessignificantlybelowtheircostofproduction.Generalgovernmentservicesincludethosethataremainlynon-marketinnature,thosethatarelargelyforcollectiveconsumptionbythecommunityandthosethatinvolvethetransferorredistributionofincome.Theseservicesarefinancedmainlythroughtaxes,orothercompulsoryleviesandusercharges.

Interestexpenserepresentscostsincurredinconnectionwithborrowings.Itincludesinterestonadvances,loans,overdrafts,bondsandbills,deposits,interestcomponentsoffinanceleaserepayments,andamortisationofdiscountsorpremiumsinrelationtoborrowings.


Leasesarerightsconveyedinacontract,orpartofacontract,therighttouseanasset(theunderlyingasset)foraperiodoftimeinexchangeforconsideration.

Netfinancialworthisequaltofinancialassetsminusliabilities.Itisabroadermeasurethannetdebtasitincorporatesprovisionsmade(suchassuperannuation,butexcludingdepreciationandbaddebts)aswellasholdingsofequity.Netfinancialworthincludesallclassesoffinancialassetsandliabilities,onlysomeofwhichareincludedinnetdebt.

Netoperatingbalanceisakeyfiscalaggregateandisrevenuefromtransactionsminusexpensesfromtransactions.Itisasummarymeasureoftheongoingsustainabilityofoperations.Itexcludesgainsandlossesresultingfromchangesinpricelevelsandotherchangesinthevolumeofassets.Itisthecomponentofthechangeinnetworththatisduetotransactionsandcanbeattributeddirectlytogovernmentpolicies.

Netresultisameasureoffinancialperformanceoftheoperationsfortheperiod.Itisthenetresultofitemsofrevenue,gainsandexpenses(includinglosses)recognisedfortheperiod,excludingthoseclassifiedas‘othernon-ownermovementsinequity’.

Networthiscalculatedasassetslessliabilities,whichisaneconomicmeasureofwealth.

Non-financialassetsareallassetsthatarenotfinancialassets.Itincludesland,buildings,plantandequipment,culturalandheritageassetsandintangibles.

Operatingresultisameasureoffinancialperformanceoftheoperationsfortheperiod.Itisthenetresultofitemsofrevenue,gainsandexpenses(includinglosses)recognisedfortheperiod,excludingthosethatareclassifiedas‘othernon-ownermovementsinequity’.Referalso‘netresult’.

Othereconomicflowsincludedinnetresultarechangesinthevolumeorvalueofanassetorliabilitythatdonotresultfromtransactions.Insimpleterms,othereconomicflowsarechangesarisingfrommarketremeasurements.Theyincludegainsandlossesfromdisposals,revaluationsandimpairmentsofnon-currentphysicalandintangibleassets;fairvaluechangesoffinancialinstrumentsandagriculturalassets;anddepletionofnaturalassets(non-produced)fromtheiruseorremoval.

Othereconomicflows–othercomprehensiveincomecomprisesitems(includingreclassificationadjustments)thatarenotrecognisedinnetresultasrequiredorpermittedbyotherAustralianAccountingStandards.Theyincludechangesinphysicalassetrevaluationsurplusandgainsandlossesonremeasuringavailable-for-salefinancialassets.

Payablesincludesshortandlong-termtradedebtandaccountspayable,grants,taxesandinterestpayable.

Presentvalueisafinancialcalculationthatmeasurestheworthoffutureamountofmoneyintoday’sdollarsadjustedforinterestandinflation.

Producedassetsincludebuildings,plantandequipment,inventories,cultivatedassetsandcertainintangibleassets.Intangibleproducedassetsmayincludecomputersoftwareandresearchanddevelopmentcosts(notincludingthestart-upcostsassociatedwithcapitalprojects).


Receivablesincludeamountsowingfromgovernmentthroughappropriationreceivable,shortandlong-termtradecreditandaccountsreceivable,accruedinvestmentincome,grants,taxesandinterestreceivable.

Salesofgoodsandservicesreferstoincomefromthedirectprovisionofgoodsandservicesandincludesfeesandchargesforservicesrendered,salesofgoodsandservices,feesfromregulatoryservicesandworkdoneasanagentforprivateenterprises.Italsoincludesrentalincomeunderoperatingleasesandonproducedassets,suchasbuildingsandentertainment,butexcludesrentincomefromtheuseofnon-producedassets,suchasland.Userchargesincludessaleofgoodsandservicesincome.

Suppliesandservicesgenerallyrepresentcostofgoodssoldandthedaytodayrunningcosts,includingmaintenancecosts,incurredinthenormaloperationsofCSV.

Transactionsarethoseeconomicflowsthatareconsideredtoariseasaresultofpolicydecisions,usuallyaninteractionbetweentwoentitiesbymutualagreement.Theyalsoincludeflowsintoanentitysuchasdepreciation,wheretheownerissimultaneouslyactingastheownerofthedepreciatingassetandastheconsumeroftheserviceprovidedbytheasset.Taxationisregardedasmutuallyagreedinteractionsbetweenthegovernmentandtaxpayers.Transactionscanbeinkind(e.g.assetsprovided/givenfreeofchargeorfornominalconsideration)orwherethefinalconsiderationiscash.Insimpleterms,transactionsarisefromthepolicydecisionsoftheGovernment.

Style conventions

Figuresinthetablesandinthetexthavebeenrounded.Discrepanciesintablesbetweentotalsandsumsofcomponentsreflectrounding.Percentagevariationsinalltablesarebasedontheunderlyingunroundedamounts.

Thenotationusedinthetablesisasfollows:

- zero,orroundedtozero(xxx) negativenumbers200x yearperiod200x0x yearperiod

Thefinancialstatementsandnotesarepresentedbasedontheillustrationforagovernmentdepartmentinthe2019-20ModelReportforVictorianGovernmentDepartments.ThepresentationofotherdisclosuresisgenerallyconsistentwiththeotherdisclosuresmadeinearlierpublicationsoftheCSV’sannualreports.


BUDGE TA RY REP ORTING (BR )

Budgetary Reporting (BR) 135

INTRODUCTION

InaccordancewithAASB1055BudgetaryReporting,CSVprovidescomparisonsbetweentheactualfinancialstatementsandtheforecastfinancialinformation(initialbudgetestimates)publishedinBudgetPaperNo.5StatementofFinances(BP5).Thecomparisonscomprisethecomprehensiveoperatingstatement,balancesheet,cashflowstatement,statementsofchangesinequityandadministereditemstatements.

STRUCTURE

BR1 Comprehensiveoperatingstatement

BR2 Balancesheet

BR3 Cashflowstatement

BR4 Statementofchangesinequity

BR5 Administereditems

BR1 COMPREHENSIVE OPER ATING STATEMENT FOR THE FINANCIAL YE AR ENDED 30 JUNE 2020

Variance note

Budget 2020 $’000

Actual 2020 $’000

Variance $’000

CONTINUING OPERATIONS


Outputappropriations 481.0 480.2 (0.9)

Specialappropriations 1 183.0 167.7 (15.3)

Grants 24.9 25.6 0.8

Otherincome 0.0 0.0 0.0

Total income from transactions 688.9 673.5 (15.4)


Employeeexpenses 2 405.5 374.6 30.8

Depreciationandamortisation 69.7 72.9 (3.2)

Interestexpense 8.3 4.8 3.5

Grantsandothertransfers 14.3 15.1 (0.8)

Capitalassetcharge 46.4 46.4 0.0

Suppliesandservices 3 145.3 155.2 (9.9)

Total expenses from transactions 689.3 669.0 20

Net result from transactions (net operating balance) (0.4) 4.5 (5.0)


Netgain/(loss)onnon-financialassets 0.0 0.3 (0.3)

Netgain/(loss)onfinancialinstruments 0.0 0.2 (0.2)

Othergains/(losses)fromothereconomicflows 0.0 (1.9) 1.9

Total other economic flows included in net result 0.0 (1.4) 1.4

Net result (0.4) 3.1 (3.6)

OTHER ECONOMIC FLOWS–OTHER COMPREHENSIVE INCOME


Changesinphysicalassetrevaluationreserve 4 0.0 44.3 (44.3)

Total other economic flows–other comprehensive income 0.0 44.3 (44.3)

Comprehensive result (0.4) 47.5 (47.9)


Notes:

1. The Special appropriations budget represents the annual warrant provided to cover judicial entitlements and non-judicial members in order to support the delivery of government initiatives. The variance represents undrawn revenue due to lower than planned expenditure.

2. The employee expenses variance represents lower than planned expenditure for judicial remuneration funded from special appropriations and employee remuneration funded from ouput appropriations.

3. The supplies and services variance represents increased expenditure predominately due to CSV’s COVID19 business continuity response and other expenditure.

4. Revaluation of land in accordance with financial reporting directions.

BR2 BAL ANCE SHEET A S AT 30 JUNE 2020

Variance note

Original budget

2020 $’000

Actual 2020

$’000Variance

$’000

FINANCIAL ASSETS

Cashanddeposits 19.6 19.9 0.2

Receivables 103.7 134.7 31.0

Total financial assets 123.3 154.6 31.3

NON-FINANCIAL ASSETS

Non-financialphysicalassetsclassifiedasheldforsale 0.2 0.2 (0.0)

Property,plantandequipment 1 1269.7 1134.2 (135.5)

Intangibleassets 28.4 31.6 3.2

Prepayments 5.9 7.9 2.0

Total non-financial assets 1304.2 1173.9 (130.3)

Total assets 1427.5 1328.4 (99.0)

LIABILITIES

Payables 49.2 62.0 12.8

Borrowings 130.2 119.3 (10.9)

Provisions 94.9 105.1 10.2

Otherprovisions 0.0 0.2 0.2

Total liabilities 274.3 286.6 12.3

Net assets 1153.2 1041.9 (111.3)

EQUITY

Accumulatedsurplus/(deficit) 2 14.3 (30.1) (44.4)

Contributedcapital 834.8 827.1 (7.6)

Physicalassetrevaluationsurplus 3 304.1 244.9 (59.2)

Net worth 1153.2 1041.9 (111.3)

Notes:

1. Prior period error correcting the depreciation replacement cost for the County Court PPP.

2. Prior period error correcting accumulated depreciation relating to the depreciation replacement cost for the County Court PPP.

3. Prior period error reducing asset revaluation surplus relating to the County Court PPP.


BR3 CA SH FLOW STATEMENT FOR THE FINANCIAL YE AR ENDED 30 JUNE 2020

Variance note

Budget 2020

$'000

Actual 2020

$'000Variance

$'000

CASH FLOWS FROM OPERATING ACTIVITIES

RECEIPTS

ReceiptsfromGovernment 1 658.7 602.7 (55.9)

Receiptsfromotherentities 17.0 30.2 13.2

GoodsandservicestaxrecoveredfromtheATO 0.0 27.0 27.0

Total receipts 675.7 660.0 (15.7)

PAYMENTS

Paymentstosuppliersandemployees (557.3) (547.3) 10.1

Paymentsofgrantsandothertransfers (3.0) (7.6) (4.6)

Capitalassetschargepayments (46.4) (46.4) 0.0

Interestandothercostsoffinancepaid (8.6) (4.8) 3.8

Total payments (615.3) (606.0) 9.3

Net cash provided by/(used in) operating activities 60.4 53.9 (6.4)

CASH FLOWS FROM INVESTING ACTIVITIES

Purchasesofnon-financialassets (115.3) (95.2) 20.1

Proceedsalesofnon-financialassets 0.0 2.6 2.6

Net cash provided by/(used in) investing activities (115.3) (92.6) 22.6

CASH FLOWS FROM FINANCING ACTIVITIES

OwnercontributionsbyStateGovernment 73.3 66.0 (7.3)

Repaymentofborrowingandfinanceleases (0.0) 0.0 0.0

Repaymentofrightofuseleases (18.4) (25.3) (6.9)

Net cash provided by/(used in) financing activities 73.3 40.7 (14.2)

Net increase (decrease) in cash held 18.4 2.0 (16.5)

Cashandcashequivalentsatthebeginningofthefinancialyear 0.0 17.9 17.9

Cash and cash equivalents at the end of the financial year 0.0 19.9 19.9

Note:

1. Receipts from Government are lower than the published budget due to appropriation re-phased into future years.


BR4 STATEMENT OF CHANGES IN EQUIT Y FOR THE FINANCIAL YE AR ENDED 30 JUNE 2020

Physical asset revaluation

surplus $'000


$'000

Contributions by owner

$'000Total

$'000

BUDGET

Opening balance 200.5 (33.3) 761.1 928.4

Netresultfortheyear 0.0 0.0 0.0 0.0

Othercomprehensiveincomefortheyear 0.0 0.0 0.0 0.0

Transactionswithownersintheircapacityasowners 0.0 0.0 73.3 73.3

Closing balance 200.5 (33.3) 834.4 1001.7

STATEMENT OF CHANGES IN EQUITY

Opening balance 200.5 (33.3) 761.1 928.4



Transactionswithownersintheircapacityasowners 0.0 0.0 66.0 66.0

Closing balance 244.9 (30.1) 827.1 1041.9

VARIANCE TO BUDGET

Opening balance 0.0 0.0 0.0 0.0



Transactionswithownersintheircapacityasowners 0.0 0.0 (7.3) (7.3)

44.3 3.1 (7.3) 40.2


BR5 ADMINISTERED ITEMS

Budget 2020 $’000

Actual 2020 $’000

Variance $'000

ADMINISTERED INCOME FROM TRANSACTIONS

Specialappropriationsapplied 43.1 45.1 2.1

Fines 21.1 4.1 (16.9)

Salesofgoodsandservices(includingfees) 68.6 62.9 (5.7)

Otherincome 0.0 1.4 1.4

Total administered income from transactions 132.7 113.5 (19.2)

ADMINISTERED EXPENSES FROM TRANSACTIONS

Paymentsintotheconsolidatedfund 89.6 67.2 (22.4)

Criminalinjuriescompensation 33.4 44.0 10.6

Otherexpenses 9.7 1.8 (7.9)

Total administered expenses from transactions 132.7 113.0 (19.7)

TOTAL ADMINISTERED NET RESULT FROM TRANSACTIONS (NET OPERATING BALANCE) 0.0 0.5 0.5

Total administered comprehensive result 0.0 0.5 0.5

ADMINISTERED FINANCIAL ASSETS

Cashanddeposits 7.0 10.0 2.9

Receivables 3.5 1.3 (2.2)

Total administered financial assets 10.5 11.3 0.7

ADMINISTERED LIABILITIES

Creditorsandaccruals 0.3 0.8 0.5

Payable 10.0 9.2 (0.8)

Provisions 3.3 2.4 (0.9)

Total administered liabilities 13.6 12.4 (1.2)

Total administered net assets (3.1) (1.2) 1.9


GLO S S A RY

Term Definition

AJA AboriginalJusticeAgreement

AJF AboriginalJusticeForum

CAIMS CourtsAssistInformationManagementSystem

CEO ChiefExecutiveOfficer

CMS Casemanagementsystem

College JudicialCollegeofVictoria

Commission JudicialCommissionofVictoria

Courts Council ThegoverningbodyofCSV,comprisingtheHeadsofJurisdictionanduptotwonon-judicialmembersappointedbytheHeadsofJurisdiction

Courts Executive ComprisedoftheCSVCEOandseniorexecutives,CEOsofthecourts,VCATandtheCollege,andDirectoroftheCommission

Courts Group Thecourts,VCAT,CollegeandCommission

CSO Courtsecurityofficer

CSV CourtServicesVictoria

DTF DepartmentofTreasuryandFinance

EMT EmergencyManagementTeam

ERP EldersandRespectedPersons

FOI Freedomofinformation

FTE Full-timeequivalent

ITS InformationTechnologyServices

Jurisdictions Victoriancourtsandtribunal,whicharetheSupremeCourtofVictoria,theCountyCourtofVictoria,theMagistrates’CourtofVictoria,theChildren’sCourtofVictoria,theCoronersCourtofVictoriaandtheVictorianCivilandAdministrativeTribunal

OH&S Occupationalhealthandsafety

STS SeniorTechnicalSpecialist

VCAT VictorianCivilandAdministrativeTribunal

VGRS VictorianGovernmentReportingService

VPS VictorianPublicService

COURT SERV ICE S V ICTORIA

223WilliamStreetMelbourneVic3000Email:[email protected]

Documents

Court Services Victoria Annual Report 2019-20